Eco Data - December PMI Drops Lower To 50.1

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Includes: CN, CXSE, FCA, FXI, FXP, GXC, MCHI, PGJ, XPP, YANG, YAO, YINN, YXI
by: China Stock Research

China's National Bureau of Statistics (NBS) released its reading of December PMI, which was 50.1 (source, Chinese), a nearly two-year low, indicating conditions were barely above contraction territory. The key indexes were mixed; new orders and employment both worsened vs. November, but both new imports and exports showed signs of improvement (but were still in contraction territory, continuing earlier readings).

Large firms seemed to be faring better than the smaller ones, with the large-company PMI easing slightly MoM, the medium-sized company PMI improving (but still showing contraction), whereas the small-company PMI fell deeper into contraction territory.

On balance, the data suggests that China's economy continues to weaken, which may further raise the pressure on policymakers to put forward more supporting measures.

China Manufacturing PMI Sub-Index Data Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14
(Source: China National Bureau of Statistics)
Large Enterprises 51.4 50.7 51.0 50.8 50.9 51.5 52.6 51.9 52.0 51.9 51.6 51.4
Medium Enterprises 49.5 49.4 49.2 50.3 51.4 51.1 50.1 49.9 50.0 49.1 48.4 48.7
Small Enterprises 47.1 48.9 49.3 48.8 48.8 48.4 50.1 49.1 48.6 48.5 47.6 46.5
Production Index 53.0 52.6 52.7 52.5 52.8 53.0 54.2 53.2 53.6 53.1 52.5 52.2
New Order Index 50.9 50.5 50.6 51.2 52.3 52.8 53.6 52.5 52.2 51.6 50.9 50.4
New Exports Orders Index 49.3 48.2 50.1 49.1 49.3 50.3 50.8 50.0 50.2 49.9 48.4 49.1
New Import Orders Index 48.2 46.5 49.1 48.6 49.0 49.2 49.3 48.5 48.0 47.9 47.3 47.8
Main Raw Materials Index 47.8 47.4 47.8 48.1 48.0 48.0 49.0 48.6 48.8 48.4 47.7 47.5
Employed Persons Index 48.2 48.0 48.3 48.3 48.2 48.6 48.3 48.2 48.2 48.4 48.2 48.1
Supplier Delivery Time Index 49.8 49.9 49.8 50.1 50.3 50.5 50.2 50.0 50.1 50.1 50.3 49.9
Open Orders Index 45.7 45.1 44.8 44.9 46.0 46.2 46.4 45.9 45.6 44.7 43.9 43.8
Finished Goods Inventory Index 46.5 47.8 48.3 47.3 47.1 47.3 47.6 48.1 47.2 47.9 47.2 47.8
Purchase Amounts Index 51.0 49.4 50.3 50.6 52.3 52.0 53.0 51.9 51.2 50.7 50.5 50.1
Main Raw Materials Purchase Price Index 49.2 47.7 44.4 48.3 50.0 50.1 50.5 49.3 47.4 45.1 44.7 43.2
Production Prices and Business Activities Index 51.3 61.8 62.7 59.6 56.2 54.8 55.3 57.9 56.0 54.1 52.2 48.7

Disclosure: None.