China’s manufacturing and non-manufacuring activity goe sluggishly as consumers stay uncertain

30.06.24

After a short period of 2 months in positive zone in March and April China Manufacturing PMI declined below 50 again in May and keeps remaining there in June indicating contraction in factory activity.
At the same time China Non-Manufacturing PMI has been steadily heading towards negative zone since April 2023 and now is just 0.5 point away from 50.
This meager picture confirms the Chinees economy is stuck in slowdown and would require assistance.
China’s government is now expected to extend stimulus measures to the economy as consumer confidence still remain weak as a result of hosing market troubles.
These stimulus if occur will pressure CNY which is already close to historical minimums.