China manufacturing activity at three-month lowStaff writer ▼ | August 22, 2014
The HSBC/Markit China flash manufacturing PMI for August dipped to 50.3 from a final reading of 51.7 in July, making the lowest rate in three months as both output and new orders slowed, according to HSBC's preliminary purchasing manager's index (PMI).
China is slowing down HSBC PMI at 51.7
"The data suggests that the economic recovery is still continuing but its momentum has slowed again," noted HSBC chief China economist Qu Hongbin.
After a shaky start this year, Chinese policymakers have pinned hopes on accelerating investment on railways and infrastructure, quickening fiscal spending, and selectively easing monetary policies to support faltering growth. Helped by these efforts, China's economic growth showed more recovery signs in the second quarter, with growth accelerating to 7.5% from the 7.4% expansion in the first.
But as the latest data pointed to still weaker recovery rates, Qu said more policy support is needed to help consolidate the trend. ■