Courtesy of MarketMontage. View original post here.
While this figure is still contractionary (below 50) frankly I don’t know what the market wants at this point: weaker readings = more easing down the road from Chinese authorities, etc versus stronger readings = no hard landing.
That is the last piece of economic news of the year as tomorrow should be quiet.
Via Reuters:
- HSBC Purchasing Manager’s Index, designed to preview the state of Chinese industry before official output data are published, inched up to 48.7 in December from a 32-month low of 47.7 in November but fell short of the flash reading of 49. Â The HSBC PMI has been mostly under 50, which demarcates expansion from contraction, since July.
- Underlying indices showed softening demand at home and abroad, according to the data collated by UK-based information firm, Markit. Â The sub-index for overall new orders edged up to 46.9 in December from November’s 45, but still signaled falling demand. New export orders also shrank. Â Â ”While the pace of slowdown is stabilising somewhat, weakening external demand is starting to bite,” said Qu Hongbin, China economist at HSBC.
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