Stock Groups

China September factory activity unexpectedly contracts -official PMI By Reuters


© Reuters. FILEPHOTO: Workers at the manufacturing line for American infant toy maker Kids II Inc. in Jiujiang (Jiangxi Province, China) June 22, 2021. REUTERS/Gabriel Crossley

BEIJING (Reuters) – China’s factory activity unexpectedly shrank in September as high raw material prices and power cuts continued to pressure manufacturers in the world’s second-largest economy.

According to data from the National Bureau of Statistics, the PMI (official manufacturing Purchasing Manager’s Index) fell into contraction on Thursday for the first-time since February 2020.

An Reuters poll found that the index was expected to stay steady at 50.1, which is the same value as last month.

A 50-point threshold is the mark that separates growth and contraction.

China’s economy recovered quickly from last year’s pandemic-induced slump, however momentum has declined in recent months due to the large manufacturing sector being affected by COVID-19, increased costs, production bottlenecks and, more recently, electricity shortages.

Banner 3
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. CFDs include futures, stocks, indexes and Forex. Prices are provided not by the exchanges. They are provided by market makers. Therefore, prices can be inaccurate and differ from actual market prices. These prices should not be used for trading. Fusion Media does not accept any liability for trade losses you may incur due to the use of these data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.