China’s factory activity grew faster than expected in April
The activity of the manufacturing and services sectors in China grew in April after March.
Factory activity in China expanded for a second straight month, matching its best streak in more than a year and strengthening hopes that the recovery in the world’s second-largest economy can be sustained.
The official manufacturing PMI index reached 50.4 in April. This data indicates expansion by exceeding the 50 level as in the previous month; It was very close to the Bloomberg survey median expectation of 50.3, below the 50.8 data announced in March.
The non-manufacturing PMI index, which includes the construction and service sectors, was 51.2, below the survey estimate of 52.3 and the March data announced as 53.
Australia & New Zealand Banking Group Ltd. China Chief Economist Raymond Yeung said that the improvement in PMI data was largely due to exports. Yeung said, “New export orders increased again. “This reflects the strength of not only the Chinese economy, but also the strength of Western economies,” he said.
Bloomberg Asia Chief Economist Chang Shu also said, “China’s PMI data for April contains mixed signals. On a positive note, the economy largely maintained its momentum thanks to strong construction and manufacturing. But not everything is positive. “Private demand remains weak and this is reflected in significant slowdowns in the growth of new manufacturing orders and services activities,” he said.