China's March official factory activity unexpectedly expands after steep contraction
[BEIJING] Factory activity in China unexpectedly expanded in March after contracting sharply to a record low, but the rapid global spread of the novel coronavirus is expected to keep businesses and the overall economy under heavy pressure as foreign demand slumps.
The Purchasing Managers' Index (PMI) rose to 52 in March from the collapse to a record low of 35.7 in February, China's National Bureau of Statistics said on Tuesday, and above the neutral 50-point mark that separates growth from contraction on a monthly basis.
Analysts polled by Reuters had expected the March headline reading to come in at 45.0.
Analysts are forecasting China to suffer a steep economic contraction in the first quarter due to widespread disruptions to business and consumer activity caused by the virus as authorities put in place tough public measures to contain the pandemic.
REUTERS
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
US inflation increases moderately in February; consumer spending surges
Fed’s balancing act could see June rate cut in play even with sticky inflation
China’s red carpet draws CEOs but few expect their money to follow
Australia wants businesses to diversify after China scraps wine tariffs
Japan FX chief calls yen’s slump unusual, vows to act if needed
Trump’s meme stock is skyrocketing but for how long?