A lot going on today...
But the Chinese Government official surveys of manufacturing activity this morning were the worst on record following the Coronavirus epidemic, worse than previous low during financial crisis... down from 50 (modest enough after trade tensions)... to 35.7
But the Chinese Government official surveys of manufacturing activity this morning were the worst on record following the Coronavirus epidemic, worse than previous low during financial crisis... down from 50 (modest enough after trade tensions)... to 35.7
Non- manufacturing even worse... from 54.1 to 29.6... as construction, new orders and employment indices collapsed during the containment measures for the epidemic
The overall official Chinese PMI, was not far off halving in February at 28.9. Remember that below 50 indicates an economic contraction. It is Government survey response of 7000 Chinese businesses
interpretation by Government statistician acknowledges Coronavirus and containment “greatly affected” numbers, but that thanks to “Party Committee” resumption of work rising rapidly to 78.9% of Large/ medium enterprises/ 85.6% of same in manufacturing stats.gov.cn/tjsj/sjjd/2020…
That document has these details:
Chemical, fiber, equipment and car industries particularly hard hit, below 30.
Agriculture/ food and pharma, prioritized and protected, came in around 40
Finance industry only sector in expansion ... v sharp falls in retail, transport, tourism
Chemical, fiber, equipment and car industries particularly hard hit, below 30.
Agriculture/ food and pharma, prioritized and protected, came in around 40
Finance industry only sector in expansion ... v sharp falls in retail, transport, tourism
It goes on to say that “strong leadership” has contained the virus and will see factory resumption rates over 90% next month, and expects the PMI to improve in March...
Here’s a private sector economist view on this number and market impact on Monday on opening:
