Posted On 25 Mar 2014
Manufacturing growth in the United States was solid in the first quarter and the return to expansion in French business activity this month suggests that a recovery takes shape in the euro area, although the Chinese manufacturing sector hesitated at the beginning of the year, polls showed.
China had a downturn momentum in the first three months of the year. The PMI of Preliminary Markit and HSBC China fell in a minimum of eight months of 48.1 in March, with respect to the final reading of February from 48.5. The index has been under 50 since January, indicating a contraction in the sector this year.
Production and new orders weakened but new export orders grew for the first time in four months, said the poll, which suggests that the slowdown was generated by weak domestic demand.
The Prime Minister, Li Keqiang, announced last week that plans for investment and construction of the country would accelerate to ensure the increase in demand.