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HSBC China Nov final manufacturing PMI beats forecast, but dips from Oct

Published 12/01/2013, 09:39 PM
Updated 12/01/2013, 09:48 PM
Investing.com - Chinese manufacturing PMI from HSBC showed a final reading of 50.8 in November in figures reported Monday, besting the forecast of 50.5, and beating the flash estimate of 50.4, though below October's final of 50.9.

"China's manufacturing sector kept relatively steady growth momentum in November, as the final manufacturing PMI was revised up from the flash reading on the back of faster new business gains. However, the renewed contraction of employment and the slower pace of restocking activities call for a continuation of accommodative policy. The modest inflationary pressures leave room to do so," said HSBC chief China economist Qu Hongbin.

HSBC said output and total new orders increased at the fastest pace for eight months and when placed against the CFLP business survey at the weekend, both suggest manufacturing is continuing to expand at a moderate pace.

Data released on Sunday showed that China’s manufacturing purchasing managers' index held steady at an 18-month high of 51.4 in November, compared to forecasts for a decline to 51.1.

Analysts expect next year's growth target to be trimmed to 7% from 7.5% this year.

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