China’s manufacturing has slowed down to a six-month low, believed to be the result of the Communist Party stopping excessive credit to slow down government debt and control shadow banking. A slowdown in global demand has caused exports and manufacturing jobs to decline. A statistician is confident that production will improve throughout 2014. “Reports on Feb. 1 from China and South Korea point to a slowdown in global demand. China’s PMI survey showed export orders shrinking at a faster pace, with a reading of 49.3, the lowest since July. South Korean exports unexpectedly fell 0.2 percent last month from a year earlier, compared with the median estimate for a 1.5 percent increase in a Bloomberg News survey of analysts. China’s economy grew 7.7 percent in 2013, the same rate as in 2012. Growth is forecast to be 7.4 percent this year, the slowest pace since 1990, based on the median estimate in a Bloomberg News survey. China Credit Trust Co. reached an agreement last week to repay bailed-out trust holders in a high-yield product whose threatened failure spurred concern that financial stresses and defaults will mount in the nation’s $1.7 trillion trust industry.” #china #globaleconomy #manufacturing bloomberg/news/2014-02-01/china-manufacturing-gauge-falls-to-six-month-low.html
Posted on: Mon, 03 Feb 2014 00:35:52 +0000