China HSBC/Markit Manufacturing PMI for June,
- Output rises for the first time since January
- Stocks of finished goods decline at strongest rate since September 2011
- Rate of job shedding eases
Hongbin Qu, Chief Economist, China & Co-Head of Asian Economic Research at HSBC said:
- “The HSBC China Manufacturing PMI final reading for June rebounded to 50.7, up from 49.4 in May, and relatively unchanged from the flash reading.
- This confirms the trend of stronger demand and faster destocking.
- The economy continues to show more signs of recovery, and this momentum will likely continue over the next few months, supported by stronger infrastructure investments.
- However there are still downside risks from a slowdown in the property market, which will continue to put pressure on growth in the second half of the year.
- We expect both fiscal and monetary policy to remain accommodative until the recovery is sustained.”
- New orders at strongest in 15 months
AUD/USD has done little on the release, just of the session lows and in the middle of the morning’s range. We’re awaiting the RBA announcement at 0430GMT