China flash PMI shows Feburary slowdown

China’s manufacturing shrank in February to a seven-month low, Bloomberg reported, citing a flash Purchasing Managers’ Index released by HSBC. The preliminary factory reading fell to 48.3 in February from January’s final reading of 49.5, which was less than the 49.5 median estimate in a Bloomberg News survey of economists. A number below 50 indicates contraction. The manufacturing slowdown fueled speculation that the Chinese leadership will switch focus in coming months from taming credit growth and financial risks to supporting economic expansion.