MNI DATA IMPACT: China May PMI Shows Stable Recovery At 50.6

     BEIJING (MNI) - China's manufacturing Purchasing Manager Index (PMI) stood

above breakeven for a third month at 50.6 in May, following April's 50.8. The

data mirrored a stable recovery of the economy after authorities further eased

lockdowns, the latest data from the National Bureau of Statistics showed on

Sunday. 

     MNI highlights the following key points in the NBS statement:

     - The production sub-index edged down to 53.2 from last month's 53.7, above

the break even 50 for the third month, indicating continued improvement in

production.

     - The new-order sub-index climbed to 50.9 in May from 50.2 in April,

reflecting an increased demand faced by the manufacturing industry.

     - The new-export-order sub-index, a leading indicator for China exports,

was at 35.3, up from April's 33.5. The still-weak reading indicated the sharp

contraction in overseas demand as the pandemic depressed economies worldwide,

the NBS noted.

     - Non-manufacturing PMI rose for a third month in May to 53.6 from previous

53.2, led by a recovery in the construction industry. The service sector is

recovering steadily as consumption grows, helped by stimulus measures and an

extended May 1 Labour Day holiday, the bureau said.

--MNI Beijing Bureau; tel: +86 (10) 8532-5998; email: flora.guo@marketnews.com

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

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