Chinese manufacturing PMI in July fell for a 5th straight month in July while Japan's rose to a 5-month high, according to separate flash survey results published Friday.
Caixin's flash manufacturing purchasing managers' index survey for July was at 48.2, the lowest level in 15 months and the general manufacturing output index was at 47.3 in July (49.7 in June), which was a 16-month low.
Caixin Media Company Limited is a Chinese media group focusing on business news and information and it has replaced HSBC, the global bank, as a sponsor of the survey. The data was compiled by Markit, the London-based index company.
Any PMI reading below 50 indicates contraction in the sector and today's flash estimate is typically based on approximately 85%–90% of total PMI survey responses each month.
In Tokyo, the flash Japanese manufacturing PMI survey was sponsored by Nikkei, which agreed on Thursday to acquire the Financial Times.
Amy Brownbill, economist at Markit, which compiled the Japan survey, said: “Operating conditions in the Japanese manufacturing sector improved in July. Production rose at the quickest rate since February, while new order growth was the second-strongest this year so far. Subsequently, employment rose at the fastest rate since December 2014 and buying activity growth resumed.
"Meanwhile, reports of the falling yen against the dollar led to greater cost pressures, as input price inflation was the strongest in three months. That said, the rate of inflation remained weak in the context of historical data."
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