Asian Economic News

China Manufacturing Contracts Unexpectedly

China's manufacturing activity declined unexpectedly in May, preliminary results of a survey by Markit Economics showed Thursday.

The headline purchasing managers' index, an indicator of the health of the factory sector, fell to a seven-month low of 49.6 in May from 50.4 in April. Readings below 50 indicates contraction of the sector.

Economists expected the reading to remain unchanged from March's level.

The flash manufacturing output index edged down to 51 from 51.1 in April. While the index remained in the positive territory, it indicated that production growth was at the weakest level in three months.

by RTTNews Staff Writer

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