China’s factory activity topped analysts’ expectations, although growth slowed from the prior month when it hit a year-high, as new orders saw a slowdown.
The official manufacturing purchasing managers’ index reading of 50.3 was higher than the the 50.1 expected by Reuters-polled economists. A figure above 50 indicates expansion, while below shows a contraction in activity.
Non-manufacturing PMI fell into contraction territory at 49.4, compared to the 50.1 seen in March, with activity in the services and construction sectors both shrinking.
China’s composite PMI dipped to 50.1 from March’s 50.5.
“Industry still looks comparatively firm, while services and domestic demand show some weakness, which keeps boosting internal demand high on the policy agenda,” said Hao Zhou, head of research and chief economist at Guotai Junan International Holdings.
