CHINA MANUFACTURING SECTOR FALLS INTO CONTRACTION - CAIXIN

The manufacturing sector in China slipped into contraction territory in November, the latest survey from Caixin revealed on Wednesday with a manufacturing PMI score of 49.9.

That's down from 50.6 in October and it falls beneath the boom-or-bust line of 50 that separates expansion from contraction.

Chinese manufacturing output rose for the first time since July during November, though the rate of expansion was only fractional. Panel members indicated that firmer market conditions and a relative improvement in energy supply had supported higher production. That said, subdued customer demand, rising costs and limited power supply at some firms dampened overall growth.

Total new work fell marginally in November, following two months of expansion. Some firms linked relatively muted demand conditions to the pandemic and high output prices. New work from abroad also fell, albeit at the softest rate for four months, amid reports of reduced foreign demand due to the ongoing pandemic and challenges in shipping items to clients.

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