Official Chinese manufacturing PMI climbed to 50.8 in May. A reading below 50 indicates contraction.
This beat expectations for a fall to 50, and was up from April's reading of 50.6
The rise was driven by output which climbed to 53.3 in May, from 52.6 the previous month.
The HSBC Flash PMI fell to a seven-month low of 49.6 in May.
Here is the full table:
|New export orders||49.4||48.6|
|Inventory of finished goods||48.6||47.7|
|Inventory of raw materials||47.6||47.5|
The modest expansion in manufacturing activity comes as a bit of a relief.
For now, the main bear argument on China continues to be that it is taking more and more credit growth, to deliver less and less economic growth.
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