Arab Today, arab today china manufacturing index at 6month high but strains remain
Last Updated : GMT 05:58:37
Arab Today, arab today
Arab Today, arab today

China manufacturing index at 6-month high but strains remain

Arab Today, arab today

Arab Today, arab today China manufacturing index at 6-month high but strains remain

Workers produce clothes at a factory in Huaibei
Beijing - AFP

China's official manufacturing index hit a six-month high in May but the industry still faces multiple strains, the government said Monday, while a closely watched private survey pointed to continued deterioration as the world's second-largest economy battles a broad slowdown.

The Purchasing Managers' Index (PMI) released by the National Bureau of Statistics (NBS) came in at 50.2 for May, the strongest since 50.3 in November and the third consecutive month of expansion.

The index, which tracks activity in factories and workshops, is seen as a key barometer of the country's economic health. A figure above 50 signals growth, while anything below indicates contraction.

Despite the improvement in the headline figure, Zhao Qinghe, a senior analyst with the NBS, cautioned that it remained at a "relatively low level" and that industry is still "under rather big downward pressures".

"The survey result showed that companies are still beset with strapped finances, insufficient market demand and rising labour costs," Zhao said in a separate statement released by the NBS.
Sub-indexes covering production and new orders both expanded, while those for employment and raw material inventory remained below the break-even point, according to the NBS.

A separate survey by British banking giant HSBC was more pessimistic, with its final PMI reading standing at 49.2 in May for the third straight month of contraction.

Compared with the official reading, the HSBC survey uses a smaller sample.

According to the survey, production contracted for the first time in 2015 partly due to a fall in new export work, which was the sharpest in two years, according to the bank's statement.

"The headline PMI signalled a further deterioration in the health of China's manufacturing sector in May," said Annabel Fiddes, an economist at Markit, the information services provider that compiles the index, said in the statement.

Softening demand, falling output, sustained job cuts, ongoing destocking activities and reduced purchasing activity all suggest that the sector may "remain in contractionary territory as we head into mid-year", she said.

"More stimulus measures may be required to help boost domestic demand and recover some growth momentum," she added.

China's gross domestic product expanded 7.4 percent last year, the slowest since 1990. Growth weakened further to 7.0 percent in the January-March period, the worst quarterly result in six years.

The frailty looks to have extended into the current second quarter after indicators for April such as trade and industrial output came in weaker than expected.

Authorities have taken a series of steps to stimulate the economy, including three interest rate cuts since November and two reductions in the amount of cash banks must keep in reserve, in a bid to boost lending.

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today china manufacturing index at 6month high but strains remain Arab Today, arab today china manufacturing index at 6month high but strains remain

 



Arab Today, arab today
Arab Today, arab today Fadi Kataya explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Messi visit will contribute in tourism

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday