(Caixin) China’s General Manufacturing PMI entered the contractionary zone at 49.2 in August, down from 50.3 in July as Covid-19 clouded activity. The PMI marks the first time of deterioration of business conditions since April 2020.
Total new work also fell for the second month in a row on low demand both at home and abroad. New export orders were down for the first time since February.
Backlog of orders rose at the fastest rate since May, with companies reducing staff numbers due to dampened demand.
Inflationary pressures remained high, with input costs rising for the 15th month, while output costs moderated but stayed in the expansionary territory.
Lead times continued to rise, with logistic issues and material deliveries constrained by Covid-19 outbreaks.
Business confidence was still robust, although the degree of optimism remained unchanged from the 15-month low of July.
CSI 300 is up +1.33%, USDCNY is up +0.10%
