Anyone Who Cares About The Global Economy Will Be Staying Home Tonight And Following A Crucial Number From China

The official Chinese manufacturing PMI for November is out at 8 p.m. ET tonight.

Analysts polled by Bloomberg are looking for PMI to rise to 50.8, from 50.2 the previous month.

A reading above 50 signals expansion in the industry.

Last week, the HSBC flash PMI (a preliminary measure) climbed to 50.4. 

The Chinese economy began showing green shoots back in October and this data is expected to add to signs that the Chinese economy is accelerating again.

Bank of America’s Ting Lu who is also looking for a 50.8 print writes:

“The NBS Manufacturing PMI could rise to 50.8 in Nov from 50.2 in Oct. With regards to sub-indices, “New export orders” could increase as export growth has been recovering from the trough in 3Q12. 

Boosted by improved domestic demand on policy easing, “New orders” will likely increase as well. Restocking by manufacturers could raise inventory-related sub-indices in PMI, which were at low levels around 48 in Oct.”

Here’s the trajectory of Chinese PMI since 2005:

China pmi chart

Photo: Bank of America

SEE ALSO: The 5 Most Reliable Chinese Economic Indicators >

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