China’s official manufacturing PMI shrank for second straight month in Jan – Reuters

Reuters offers additional insights into the official Chinese manufacturing and non-manufacturing PMI reports published by the National Bureau of Statistics (NBS)

Key Highlights:

“Activity in China’s manufacturing sector shrank for the second straight month in January pointing to further strains on the economy that could heighten risks to global growth.

Anxiety about cooling demand in China is rippling through the world’s financial markets and weighing on other Asian economies after a string of sales warnings from heavy machinery producer Caterpillar to iPhone maker Apple. 

Even with increasing government efforts to spur activity, concerns are growing that China may be at risk of a sharper-than-expected slowdown if the trade war with the United States drags on. 

An acceleration in service sector activity for the second straight month, reflecting some pockets of strength in the economy despite worries about faltering consumer demand.”