China’s factory activity showed modest signs of improvement in April but not enough to dispel concerns over sluggish growth in the world’s second-largest economy.
Government policy makers, who have already rolled out smaller stimulus measures, would probably wait before deciding whether further action is needed, analysts said.
Data released in recent days indicate the manufacturing sector is struggling to gain traction but showing signs of life. The final HSBC Manufacturing Purchasing Managers’ Index for April released Monday edged up to 48.1 from 48.0 in March, but remained below the key 50 level which separates contraction from expansion on a monthly basis. The index is a gauge of nationwide manufacturing activity.