China’s factory and services activity contracted in October as tighter Covid curbs continue to pressure the world’s second-largest economy.
This Sunday, October 30, the Chinese government reported 2,675 new local cases of covid, marking the largest increase in infections nationwide since August 10. The virus is spreading fastest in several provinces of the country, including some of its largest and most economically important areas. Nationwide, the count accelerated from about 1,400 cases on average over the previous five days.
Caixin's manufacturing PMI may paint an even
worse picture for the country's smaller, more
export-oriented companies. New orders for
manufacturing fell, product prices increased and
the unemployment rate continued to rise.
A statement from the National Bureau of
Statistics on Monday announced the official
manufacturing purchasing managers' index fell
to 49.2 this month from 50.1 in September, in
addition to the non-manufacturing index, which
measures activity in the construction sectors.
and services, fell to 48.7 from 50.6, below the
forecast of 50.1 for the month of September.
“Today’s data suggest it is too early to bet on
China’s economic recovery.” said Raymond
Yeung, chief economist for Greater China at
Australia & New Zealand Banking Group Ltd.
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