Ho Woei Chen, CFA, Economist at UOB Group, assesses the latest PMI data in China. Key Quotes “Both the manufacturing and non-manufacturing Purchasing Manager’s Index (PMI) from China Federation of Logistics & Purchasing (CFLP) softened in December. The manufacturing PMI eased from more than 3-year high of 52.1 in November to 51.9 in December (Bloomberg poll: 52.0) while the non-manufacturing PMI fell to 55.7 in December (Bloomberg poll: 56.3) from 8 ½-year high of 56.4 in November.” “The lower readings in December could have been partly due to the cold weather and reported cuts in electricity supplies to some industrial and commercial users as the system was unable to cope with the surge in demand. Nonetheless, the underlying economic recovery momentum in China likely remained intact given that COVID-19 is contained domestically, keeping pent-up demand strong in the coming months. For 4Q20, we are maintaining our GDP growth forecast for China at 6.2% y/y (3Q20: 4.9%) with our full-year 2020 GDP growth at 1.9% and rising to 8.2% in 2021.” “The manufacturing PMI is now into its 10th consecutive month of expansion, defined as a reading above the threshold of 50. In December, the main components including production (54.2 from 54.7 in Nov), new orders (53.6 from 53.9 in Nov) and new export orders (51.3 from 51.5 in Nov) eased.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next ECB’s de Cos: Yield curve control is an option worth exploring FX Street 1 year Ho Woei Chen, CFA, Economist at UOB Group, assesses the latest PMI data in China. Key Quotes “Both the manufacturing and non-manufacturing Purchasing Manager’s Index (PMI) from China Federation of Logistics & Purchasing (CFLP) softened in December. The manufacturing PMI eased from more than 3-year high of 52.1 in November to 51.9 in December (Bloomberg poll: 52.0) while the non-manufacturing PMI fell to 55.7 in December (Bloomberg poll: 56.3) from 8 ½-year high of 56.4 in November.” “The lower readings in December could have been partly due to the cold weather and reported cuts in electricity supplies to some industrial… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.