MNI DATA IMPACT: China Aug PMI Steady;  Services Rebound

China's manufacturing Purchasing Manager Index (PMI) registered 51.0 in August, standing above the breakeven 50 for the sixth month following the 51.1 recorded in July. The non-manufacturing PMI reads at 55.2 in August, up from the previous 54.2. Both indices reflected the continuous recovery in economic activity in China, the latest data from the National Bureau of Statistics released on Monday showed. MNI highlights the following key points in the NBS statement:

• The production sub-index was 53.5 in August, following last month's 54.0, the sixth monthly expansion. The gap between the production and new orders index has been narrowed to the minimum since March due to the improved supply-demand circle.
• The new-order sub-index climbed for the fourth month to 52.0 from 51.7 in July, led by medicine, metal and non-metal products as well as electric machinery industries, indicating the recovering demand in the manufacturing industry.
• The new-export-order sub-index, a leading indicator for China exports, was at 49.1, up 0.7 points from June's 48.4, while the new-import-order sub-index read at 49.0, slightly down from July's 49.1.
• Among the non-manufacturing PMI sub-indicators the services business activities index read at 54.3, quickened from last month's 53.1, showing a resumption in demand from the services sector.
• The business expectation index was unchanged at 61.3, mirroring steady sentiment among companies.