China PMI in September shows sign of economic rebound

Posted by Aliuser on Oct 4, 2009 in China Import and Export

Amid China National Day, China government officals and HSBC announced a positive figure for China Manufacturing Purchasing Managers’ Index (PMI) last week.

The HSBC China Manufacturing Purchasing Managers’ Index (PMI) fell slightly to 55.0 in September from 55.1 in August, suggesting that China economy managed to sustain expansion in industrial activity, driven by strength in domestic investment and improvement in external demand.

The PMI has been above 50 in all three months of the third quarter, helped by the government’s stimulus program and the central bank’s expansion of lending.

China-manufacturing_pmi_2009_Sep_ image courtesy of Markit Economics

News from China Federation of Logistics and Purchasing revealed that PMI for September rose to 54.3 from 54.0 in August.

Analysts from Citibank projected that China GDP growth for this year and next year would be 8.7% and 9.8%, respectively.

Mainland news media China Business News last Wednesday that Chinese banks may have extended between 600 billion yuan ($87.88 billion) and 700 billion yuan worth of new loans in September.

More information can be available at Bloomberg: China Manufacturing Expands a Sixth Month, PMI Shows.