CHINA HSBC/Markit Flash reading for manufacturing PMI for July 52.0

  • 18-month high
  • expected 51.0
  • prior was 50.7

AUD pops higher on the better than expected result out of China (hitting the first levels of larger sellers)

HSBC China flash manufactruing PMi 24 July 2014

Hongbin Qu, Chief Economist, China & CoHead of Asian Economic Research at HSBC:

  • The HSBC China Manufacturing PMI rose further to 52.0 in the flash reading for July.
  • Both new orders and new export orders expanded at a faster pace than in June.
  • The employment and prices sub-indices also improved.
  • Meanwhile, stocks of finished goods contracted at a slower pace.
  • Economic activity continues to improve in July, suggesting that the cumulative impact of mini-stimulus measures introduced earlier is still filtering through.
  • We expect policy makers to maintain their accommodative stance over the next few months to consolidate the recovery.”