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China Manufacturing Output Slows Its Slide

Reuters
July 24, 2012
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Manufacturing output in China made its best showing in nine months in July, helping lift an index of activity in the country’s overall factory sector to its highest level since February, a survey showed Tuesday.
 
The HSBC flash China manufacturing purchasing managers index rose to 49.5 in July from 48.2 in June, rising close to the level — 50 — that divides expansion from contraction. The increase was driven by a jump in the subindex on output, which rose to 51.2, the best showing since October 2011.
 
The flash index is the first significant Chinese data point in the third quarter and signals that improvement in the economy that began in the second quarter may be broadening as pro-growth government policies take effect.
 
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