23 Jan 2014
China HSBC PMI falls below 50.00, 6-month low
FXstreet.com (Bali) - Flash China Manufacturing PMI came at 49.6 in January (50.5 in December), posting a six-month low.
According to Hongbin Qu, Chief Economist, China & Co-Head of Asia Economic Research: "The marginal contraction of January’s headline HSBC Flash China Manufacturing PMI was mainly dragged by cooling domestic demand conditions. This implies softening growth momentum for manufacturing sectors, which has already weighed on employment growth. As inflation is not a concern, the policy focus should tilt towards supporting growth to avoid repeating growth deceleration seen in 1H 2013.”
According to Hongbin Qu, Chief Economist, China & Co-Head of Asia Economic Research: "The marginal contraction of January’s headline HSBC Flash China Manufacturing PMI was mainly dragged by cooling domestic demand conditions. This implies softening growth momentum for manufacturing sectors, which has already weighed on employment growth. As inflation is not a concern, the policy focus should tilt towards supporting growth to avoid repeating growth deceleration seen in 1H 2013.”