China: Manufacturing PMI rebounds strongly in March
The manufacturing Purchasing Managers’ Index (PMI) published by the National Bureau of Statistics (NBS) and the China Federation of Logistics and Purchasing (CFLP) soared from an old-time low of 35.7% in February to 52.0% in March. The print was above the 45.0% expected by market analysts and the strongest result since October 2017. As a result, the index jumped above the 50.0% threshold that separates contraction from expansion in the manufacturing sector.
March’s print reflected stronger readings for all the sub-components, with new orders and production leading the pack. Despite recovering, export orders remained well below the 50.0% threshold, highlighting the fragility of global trade in the wake of the Covid-19 outbreak.