Chinese factory order slowdown moderates

A Chinese factory order slowdown moderated in April, according to a report.

The HSBC Flash Purchasing Managers’ Index (PMI), the early indicator of Chinese factory orders, recovered slightly to 49.1 in April from a reading of 48.3 in March – indicating a softer landing for the Chinese economy.

A reading below 50 means a contraction in activity.

“This suggests that the earlier easing measures have started to work and hence should ease concerns of a sharp growth slowdown,” HSBC’s China chief economist, Qu Hongbin, said in a statement.

The survey was created to provide the earliest indication of economic conditions in China.

The data is based on monthly replies to questionnaires sent to purchasing executives at more than 400 manufacturing companies in China.

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