China Manufacturing PMI in June
The China Manufacturing PMI for June showed an improvement in manufacturing activity. It was 51.5 in June compared to 51.9 in May. It didn’t meet the market expectation of 51.6.
Let’s analyze some of the key components of the China Manufacturing PMI in June:
- Production volume and output growth improved in June. It was 53.6 in June compared to 54.1 in May.
- New orders growth showed a softer rise in June. It was 53.2 in June compared to 53.8 in May. Export orders fell for the first time in four months. It was 49.8 in June compared to 51.2 in May.
- Employment in the manufacturing sector was 49 in June compared to 49.1 in May.
Despite escalating trade tensions between the United States and China, China’s manufacturing activity saw marginal improvement in June. The equity market and major China-tracking ETFs showed weaker performances since investor sentiment was hampered due to rising trade conflicts. Improvement in domestic demand helped overall economic activity in June.
ETF performances in June
In the next part of this series, we’ll analyze the performance of the China Services PMI in June.