In China the PMI index relating to the manufacturing sector calculated by the Beijing government dropped last month to 50,4 points, from 50,6 in December. Despite the decline, the index therefore remains above the 50-point threshold, which marks the boundary between expansion and contraction. However, the figure is lower than forecasts by analysts, who expected growth to 50,9 points.
Unlike the official data, the PMI index calculated by HSBC did better than estimates, rising to 52,3 points in January, the maximum for two years, against 51,9 points in the preliminary reading.
The picture remains that of a moderate recovery, due to foreign demand which remains weak.
