China factory output strengthens in October

Image: Zuma Press

China’s manufacturing sector has recorded its best PMI results since 2014, with the economy apparently stabilising.

In October, both the official purchasing managers index (51.2) and unofficial Caixin PMI (51.2) recorded their best overall results since July 2014, beating economists’ median predictions, reports AFP.

Any result above 50 indicates expansion.

However, Caixin analyst Zhong Zhengsheng warned that though the economy was apparently stabilising, this was due mainly to policies supporting economic growth.

“Supportive policies must be continued, or industrial output may be dragged down by a slowdown in investment,” added Zhong.