China’s June Caixin manufacturing PMI was 51.3, down from 51.8 predicted and 52.0 in May, indicating that the country’s manufacturing sector is gradually weakening. The index fell to a three-month low.
China’s official manufacturing PMI fell to 50.9 in June from 51.0 in May, according to the National Bureau of Statistics (NBS).
Dr. Wang Zhe, Senior Economist of Caixin Insight Group, offers his thoughts.
“June’s reading was the 14th month in a row of expansion.”
“The industrial sector’s supply and demand continued to grow. The output and total new orders indicators remained in expansionary territory in June for the 16th and 13th months in a row, respectively, while the rates of expansion were slower than the previous month.”
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The rate of decline in new export orders was faster than the rate of decline in output and total new orders. The comeback of Covid-19 in Guangdong province and elsewhere, according to surveyed businesses, has influenced both supply and demand.”
On the back of the bearish Chinese data, the AUD/USD maintains its offering tone, edging closer to the six-month lows of 0.7477. The price of the contract was last spotted at 0.7485, down 0.16 percent on the day./n
