China: Seasonal dip in PMIs - ANZ

ANZ analysts note that the China’s PMI data for April show an improvement over the Q1 average of 49.7 amid a jump in new export orders.

Key Quotes

“Although the decline in the headline PMI likely reflects a seasonal correction, it does suggest that the extent of reflation this year is slightly less than that seen in early 2016.”

“The PMI of small enterprises improved for the second consecutive month, reaching a six-month high of 49.8 on the back of intensive policy support.”