China’s June factory activity quickens to three-month high: Official PMI

FILE PHOTO: Employees work on a production line manufacturing metal parts for furniture at a factory in Hangzhou, Zhejiang province, China Apr 30, 2020.

BEIJING: China’s factory activity expanded at a faster pace in June, beating expectations, as the economy continues to recover after the government lifted strict lockdowns and ramped up investment, but weak global demand is likely to be a drag on growth.

The official manufacturing Purchasing Manager’s Index (PMI) rose to a three-month high of 50.9 in June from 50.6 in May.

The figures are above the 50-point mark that separates growth from contraction on a monthly basis. Analysts had expected it to slow to 50.4.

While most of the economy has reopened, many manufacturers are still struggling due to weak overseas orders as global demand falters. Domestic recovery also remains mild and below historic levels, amid renewed worries about a second wave of infections.

“We believe the economy is still far from a full recovery and Beijing cannot afford to reverse its easing stance,” Nomura analysts wrote Monday (Jun 29).

Z24 News

Leave a Reply

Your email address will not be published. Required fields are marked *

Next Post

Google removes misleading ads in voting-related searches

Mon Jun 29 , 2020
MOUNTAIN VIEW, California: Google said on Monday (Jun 29) that it had removed search ads that charged users searching for voting information large fees for voter registration or harvested their personal data. A Google spokeswoman told Reuters that the company’s misrepresentation policy barred such ads, which were found by the […]

Share

Social menu is not set. You need to create menu and assign it to Social Menu on Menu Settings.