China HSBC PMI falls to 49.5

A Chinese factory gauge fell to a seven-month low in December, suggesting further stimulus is needed to halt a slowdown in the world’s second-largest economy.

The preliminary Purchasing Managers’ Index from HSBC Holdings Plc and Markit Economics was at 49.5, missing the median estimate of 49.8 in a Bloomberg survey and lower than last month’s 50.0. Numbers below 50 indicate contraction.

The reading suggests a downturn deepened in December even after efforts by the central bank to ease monetary conditions, including with a cut to benchmark interest rates last month. Readings of output, new orders, employment and input and output prices all declined, the report showed.


Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at Visit to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.