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China private manufacturing PMI cools to 50.9 in July
The slowdown to a four-month low was driven by softer improvement, while new orders kept rising for a 14th straight month and export orders returned to expansion.
China’s private manufacturing activity continued to grow in July, but at a softer pace, as the RatingDog China General Manufacturing PMI fell to 50.9, its lowest level in four months, according to Forexlive.
The report pointed to moderating momentum rather than outright weakness. New orders rose for a 14th consecutive month, and export orders returned to expansion for the first time in three months, after three months of contraction.
Forexlive also highlighted supply chain details, noting the longest continuous build-up in input stocks since 2006-07, a factor that has begun to curb additional purchasing. Output and input price dynamics suggested limited pass-through inflation pressure for now, with broad output prices flat and input cost inflation cooling.
Despite the slower headline pace, the 12-month outlook sentiment improved as exports resumed growth and price pressures eased, supporting the view that private manufacturing is decelerating gently rather than stalling. The headline PMI stayed above 50.0 for an eighth consecutive month, indicating expansion.