And the preliminary HSBC PMI figure for China this month is…wait for it…
Now, that’s up from the final figure of 51.5 in December and also the highest number in 24 months. It’s also the fifth month of above-trend growth, but unlike the previous few months, the component table suggests it’s all expansionary across the board.
Backlogs of work are now growing; stocks of finished goods are falling, employment is rising faster and even export orders are now rising.
We were surprised at the change in direction on export orders, but this chart shows the growth rate is only just breaking above the 50-mark:
Backlogs of work are also a little fragile but employment, above, looks more solid.