March 03, 2025 at 01:45AM
Caixin China Manufacturing PMI (February 2025) improves to 50.8, well above expected and the best in three months:
expected 50.3, prior 50.1
In summary:
Manufacturing continued to expand in February, with output and new orders reaching three-month highs. Export orders rebounded after two months of decline.
Workforce numbers fell for the sixth straight month as firms prioritized cost-cutting and efficiency, leading to rising backlogs.
Input costs rose slightly, driven by copper and chemical prices, while output prices fell for the third consecutive month due to discounts and promotions.
Logistics improved post-Chinese New Year, with better supplier delivery times and increased purchasing activity, though raw material inventories dipped.
Businesses remain hopeful about future growth, but concerns over employment and household income continue to weigh on domestic demand. March is seen as a key policy window to address economic challenges and boost consumer confidence.
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Over the weekend had the official PMIs showing a little improvement:
China February PMIs: Manufacturing 50.2 (expected 50.0) Services 50.4 (expected 50.3)
This article was written by Eamonn Sheridan at www.forexlive.com.
