China's manufacturing sector hits 11-month high in May
The activity in China's manufacturing sector continued to improve in May, with the Caixin General Manufacturing Purchasing Managers' Index (PMI) growing by 1.4 points compared to April and reaching 50.6, its 11-month high, S&P Global revealed in its newest report.
The document noted an increase in production, the creation of new businesses, client demand, purchasing activity, and supplier capacity. On the other hand, it also noted a decline in business confidence, which dropped to its seven-month low as a result of the global economic instability.
"In a nutshell, manufacturing activity improved in May. Both supply and demand expanded, but employment sank to a three-year low. Businesses stepped up purchasing, inventories of raw materials grew marginally, logistics picked up, prices continued to slump, and manufacturers' optimism wavered," Caixin Insight Group Senior Economist Dr. Wang Zhe commented.