Caixin manufacturing PMI drops in January

Manufacturing activity in China expanded at a slower pace in January on weakened growth in domestic demand, even though new exports increased at the strongest pace in more than two years, according to the Caixin China General Manufacturing Purchasing Managers’ Index (PMI). The index stood at 51.0 last month, down from 51.9 in December. The survey is based on data provided by more than 500 factories and mines across the country. A reading above 50 indicates expansion, while anything below that points to contraction. The official manufacturing PMI, released by the National Bureau of Statistics on Wednesday, was 51.3 in January, down marginally from 51.4 in December, on slower growth in production and demand in the run up to the Spring Festival holiday week, which started on January 27.