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China’s manufacturing PMI hits four-month low in June

Oleh Tim Editorial ChemOrbis -
  • 01/07/2016 (06:12)
According to data released by China’s National Bureau of Statistics (NBS), the country’s official manufacturing purchasing managers’ index (PMI) hit the lowest level seen since February, declining to a reading of 50 in June from a reading of 50.1 in May. The June PMI came in line with Reuters economists’ expectations. Any reading below 50 indicates a contraction while any reading above 50 represents an expansion.

The data showed that new orders index contracted in June while output index climbed to a reading of 52.5 in June from 52.3 in the previous month. The employment sub-index also declined to a reading of 47.9 from 48.2 in May.

The private Caixin Purchasing Managers’ Index also recorded the lowest level in four months. The index fell to a reading of 48.6 in June compared with 49.2 in May.

Some economists commented that the Chinese government must take further stimulus in order to boost the sluggish economy.
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