China Manufacturing PMI Stuck In Contraction As Services Hit 2019 Lows

Despite record credit injections and endless easing, China's economic survey data goes from bad to worse.

While China Manufacturing PMI managed a de minimus gain from 49.4 to 49.7, it remains in contractionary territory for the 7th month in the last 9.

China Services PMI continued to slide, back to its lowest since 2018.

Confirming global weakness seen in Japanese and European PMIs.

In a seemingly desperate reach, Bloomberg notes that the stronger result (49.4 to 49.7) signaled some optimism is emerging in the Chinese economy in spite of lingering uncertainty over trade talks and domestic demand.

PMI data improves as “the government’s tax cuts have helped improve growth slightly,” Yao Shaohua, economist at ABCI Securities Co. in Hong Kong.

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