China’s factory activity unexpectedly slipped into contraction in July, pressured by shrinking new orders that reinforced concerns over slowing economic growth, weak demand at home and elevated production costs.
PMI Data
The official manufacturing purchasing managers’ index (PMI) fell to 49.2 from 50.3 in June, below the 50-mark separating growth from contraction and hitting a 5-month low, according to a survey by the National Bureau of Statistics.
The non-manufacturing PMI, which includes services and construction, also contracted, declining to 49 from 50.2 in June. The composite PMI came in at 49.3 compared with a 50.6 reading the previous month.
Gross domestic product growth in the second quarter slowed to 4.3% from 5.0% in the first three months, below the official annual target of 4.5%-5%, adding pressure on policymakers to deliver stronger stimulus measures to shore up domestic demand and investment.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
