BNZ – BusinessNZ
Performance of
Services Index

Humming along – PSI

20 Jul, 2015
58.2
June
+0.1

Monthly Change

expanding
faster rate

New Zealand’s services sector held its own in June as activity remained at a healthy level of expansion, according to the BNZ – BusinessNZ Performance of Services Index (PSI).

The PSI for June was 58.2. This was 0.1 point higher than May, and the highest overall value since July 2014 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining).

BusinessNZ chief executive Phil O’Reilly said that the consistent level of expansion over the first six months of 2015 has been helped by both activity/sales and new orders remaining within a fairly tight band of expansion.

“Although the proportion of positive comments from businesses during June (61.6%) was down from May (70%), the sector continues to display broad positive growth “.

BNZ senior economist Craig Ebert said that, “Whether parsed by region, industry type, or firm size, every bit of the PSI was in expansion mode, which is rare. Combined with the improved PMI reading for June (55.2) the latest PSI paints a picture of an economy expanding robustly, probably a little better than average.”

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BNZ - BusinessNZ PSI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PSI

Services Landscape

Services Activity

The dairy sector is facing tough times and some construction indicators are slowing.
Read more  

Consumer Spending

To be sure, the NZIER Quarterly Survey of Business Opinion contained an abruptly slower pulse amongst merchants.
Read more  

Tourism Booming

Short-term visitor arrivals have been booming this year. Some of this has related to the February/March Cricket World Cup and the May/June under-20 FIFA World Cup.
Read more  

Housing’s Ups Downs and Sideways

The Real Estate Institute’s data for June confirmed that the Auckland housing market is ablaze, with prices up around 25%, y/y, and that there is a flattening, even negative, trend in Canterbury now, as its recent housebuilding boom begins to take the pressure off.
Read more .

View full BNZ Services Snapshot
Craig Ebert

Craig Ebert

Senior Economist, BNZ

Sponsor Statement

BNZ is delighted to be associated with the Performance of Services Index (PSI) and BusinessNZ.

This association brings together the significant experience of leading business advocacy body BusinessNZ, and business finance specialist BNZ.

We look forward to continuing our association with BusinessNZ and associated regional organisations, and to playing our part in the ongoing development of the New Zealand service sector.

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PSI Time Series Table

The results are seasonally adjusted.

National Indicies June
2014 		Feb
2015		 Mar
2015		 Apr
2015 		May
2015 		June
2015
BNZ – BusinessNZ PSI 55.4 56.0 57.6 56.7 58.1 58.2
Activity/Sales 55.5 62.1 60.3 60.6 62.9 60.2
Employment 52.8 52.9 54.9 53.8 56.3 54.2
New Orders/Business 59.4 58.6 61.0 62.7 63.1 63.0
Stocks/Inventories 54.1 53.0 58.6 51.4 50.5 53.4
Supplier Deliveries 53.2 51.0 53.4 49.9 49.9 56.1
View the Time Series Data

BNZ – BusinessNZ PSI Time Series

June 2011 – June 2015

International Results

J.P. Morgan Global Manufacturing PSITM

06 Jul 2015
53.5

About the PSI

The BNZ – BusinessNZ Performance of Services Index is a monthly survey of the service sector providing an early indicator of activity levels.

A PSI reading above 50 points indicates service activity is expanding; below 50 indicates it is contracting.

The main PSI and sub-index results are seasonally adjusted.

Technical Contact

Stephen Summers
Economist, BusinessNZ

[email protected]

PSI Releases

Treading water

New Zealand’s services sector continued to display contraction for a sixth consecutive month, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for July was 48.9 (A PSI reading above 50.0 indicates that the service sector is generally...

Ongoing contraction

New Zealand’s services sector displayed contraction for a fifth consecutive month, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for June was 47.3 (A PSI reading above 50.0 indicates that the service sector is generally expanding;...

Service with a slump

New Zealand’s services sector continued to show further decline in activity during May, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for May was 44.0 (A PSI reading above 50.0 indicates that the service sector is generally expanding;...

Declining fortunes

New Zealand’s services sector showed further decline in activity during April, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for April was 48.5 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below...

Continued softness

New Zealand’s services sector continued to show slight contraction during March, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for March was 49.1 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below...

View all PSI releases

BNZ – BusinessNZ
Performance of
Composite Index

57.8

GDP-Weighted Index

57.2

Free-Weighted Index

The seasonally adjusted BNZ – BusinessNZ Performance of Composite Index or PCI (which combines the PMI and PSI) saw the two options for measuring the PCI both experience another increase in expansion for June.

The GDP-Weighted Index (57.8) increased 0.6 points, while the Free-Weighted Index (57.2) rose 1.5 points. This is the closest the two measurements have been to each other since December 2014.

PCI Time Series Table

The results are seasonally adjusted.

National Indicies Jun
2014 		Feb
2015		 Mar
2015		 Apr
2015 		May
2015 		Jun
2015
GDP-Weighted Index 55.1 55.8 57.1 56.1 57.2 57.8
Free-Weighted Index 54.8 56.6 56.4 55.4 55.7 57.2
View the Time Series Data

BNZ – BusinessNZ PCI Time Series

June 2011 – June 2015

About the PCI

The BNZ – BusinessNZ Performance of Composite Index (PCI) takes into account results from both the Performance of Manufacturing Index (PMI) and the Performance of Services Index (PSI). Combined results are shown in two ways:

GDP-Weighted Index:
Apportions the weight of the manufacturing and services index within the economy to produce an overall result.

Free-Weighted Index:
Combines data from both indexes to produce an overall result.

Both time series for the PCI are then seasonally adjusted.

BNZ - BusinessNZ PCI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PCI

Our Contributors

The BNZ – BusinessNZ PSI contains data obtained through BusinessNZ’s regional organisations