China’s manufacturing activity contracted in January, as its PMI dropped to 49.1, below expectations of steady growth at 50.1 in December. Non-manufacturing activity also slowed sharply, with a PMI of 50.2 compared to 52.2 the previous month. This brought China’s composite PMI to 50.1, lower than expected and December’s reading. The decline highlights limited support from Beijing’s stimulus measures and increased U.S. tariffs.
The data comes ahead of the Lunar New Year holiday, which may further impact business activity, especially in non-manufacturing sectors. Investors should remain vigilant as external trade tensions persist.
Source: https://www.investing.com/news/economic-indicators/china-manufacturing-activity-unexpectedly-shrinks-in-jan-pmi-3831012