More signs of weakness in the Chinese economy as the PMI comes in lower than expected. This can’t be a good sign for global growth and especially emerging markets (via Markit):
- Flash China Manufacturing PMI™ at 48.1 in March (48.5 in February). Eight-month low.
- Flash China Manufacturing Output Index at 47.3 in March (48.8 in February). Eighteen-month low.
“The HSBC Flash China Manufacturing PMI reading for March suggests that China’s growth momentum continued to slow down. Weakness is broadly-based with domestic demand softening further. We expect Beijing to launch a series of policy measures to stabilize growth. Likely options include lowering entry barriers for private investment, targeted spending on subways, air cleaning and public housing, and guiding lending rates lower.”