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3 Jun 2014
China HSBC PMI (final) lower-than-expected
FXStreet (Bali) - The HSBC Manufacturing PMI came at 49.4 vs 49.7 exp and 48.1 last, confirming that the economy is stabilizing, although too pre-mature to jump into conclusions such as the economy has bottomed out.
Commenting on the Flash China Manufacturing PMI
survey, Hongbin Qu, Chief Economist, China, and Co-Head of Asian Economic Research at HSBC, said:
"The final HSBC China Manufacturing PMI rebounded to 49.4 in May, up from 48.1 in April, and revised down slightly from the earlier flash reading of 49.7. New orders stabilized, while new export orders recorded an impressive expansion of 53.2. But growth momentum looked weaker than suggested in the flash reading as the stocks of finished goods index was revised up to 49.8 from 48.8 in the flash reading."
"The final PMI reading for May confirmed that the economy is stabilizing, but it is too early to say that it has bottomed out, particularly in light of a weaker property sector. The lack of a sustainable growth momentum warrants stronger policy support. We expect both monetary and fiscal policy to be loosened gradually over the coming months”, Qu adds.
Commenting on the Flash China Manufacturing PMI
survey, Hongbin Qu, Chief Economist, China, and Co-Head of Asian Economic Research at HSBC, said:
"The final HSBC China Manufacturing PMI rebounded to 49.4 in May, up from 48.1 in April, and revised down slightly from the earlier flash reading of 49.7. New orders stabilized, while new export orders recorded an impressive expansion of 53.2. But growth momentum looked weaker than suggested in the flash reading as the stocks of finished goods index was revised up to 49.8 from 48.8 in the flash reading."
"The final PMI reading for May confirmed that the economy is stabilizing, but it is too early to say that it has bottomed out, particularly in light of a weaker property sector. The lack of a sustainable growth momentum warrants stronger policy support. We expect both monetary and fiscal policy to be loosened gradually over the coming months”, Qu adds.