JPMorgan Econ FI-China December NBS PMIs weakened further amid demand softnes...-105649997

JPMORGANAsiaPacificEconomicResearch01January2024ChinaDecemberNBSPMIsweakenedfurtheramiddemandsoftness•China’sDecemberNBSPMIreportcameinonthesoftsideagain.TheEmergingMarketsAsia,EconomicandPolicyResearchmanufacturingPMIfell0.4-ptto49.0,addingtothedeclineof0.1-ptinGraceNgNovember,registeringthelowestreadinginsevenmonths.(852)2800-7002•Demand-supplyimbalanceremainednotable,withthemanufacturingPMIgrace.h.ng@jpmorgan.comoutputcomponentstayingabovethe50expansionthreshold(down0.5-ptHaibinZhuto50.2inDecember),whileneworders(down0.7-ptto48.7)andexportorders(down0.5-ptto45.8)stuckbelow50.Corporatesreportedthat(852)2800-7039slowingexternaldemandandinsufficientdomesticdemandremainthekeyhaibin.zhu@jpmorgan.comchallengesforthemanufacturingsectoratthismoment.TingtingGe•TheNBSnon-manufacturingPMIrosemodestlyby0.2-ptto50.4in(852)2800-0143December,stillregisteringthesecond-lowestreadingsincethebeginningtingting.ge@jpmorgan.comoftheyear(whentheeconomycameoutofthepandemicdrag).Theserviceactivitycomponentremainedunchangedatthesubduedlevelof49.3inJiYanDecember,stayingbelowthe50expansionthresholdforthesecondconsecutivemonth,withtravel-relatedactivitieslosingmomentumamid(852)2800-7673coldweather.ji.yan@jpmorgan.comJPMorganChaseBank,N.A.,HongKongBranch•Ontheotherhand,theconstructionactivityindexrosefurtherby1.9-pttowww.jpmorganm...