China’s official factory activity index matched forecasts at the expansion threshold, while services growth edged higher.
China’s official Manufacturing PMI remained at 50.0 in May, unchanged from market expectations but down from April’s 50.3. The reading marks the weakest factory activity since December, signaling stagnation at the expansion-contraction divide.
The Non-Manufacturing PMI rose to 50.1 from 49.4 in April, rebounding above the 50-point threshold. The composite PMI, combining both sectors, climbed to 50.5, up from 50.3, reflecting modest overall economic stabilization.
Markets had anticipated a Manufacturing PMI of 50.0, aligning with the reported figure. The services sector’s recovery follows a brief contraction in April, suggesting uneven momentum across China’s economy.