Preliminary PMI shows China manufacturing contraction in March

China’s manufacturing sector contracted in March according to the first reading of factory momentum for the month, Bloomberg reported, citing the preliminary Purchasing Managers’ Index from HSBC Holdings and Markit Economics. The figure of 49.2 was down from February’s reading of 50.7, falling below the gauge’s 50-point mark delineating industry growth from contraction. “If the official PMI also slides, it will reinforce that further policy stimulus will be needed to hit the 7 percent GDP growth target,” said Tim Cordon, head of Asia research at ING GRoep NV in Singapore.