China's factory surge steps down a bit in January

China's factory surge steps down a bit in January

In January, China's manufacturing sector stepped down a bit because the government's fierce clampdown on air pollution along with a cooling property market affected activity, as a Reuters survey disclosed.

However, the tempo of expansion is anticipated to stay relatively healthy, backing experts’ views that the world's number two economy will see only a moderate slowdown in surge in 2018 after a forecast-confounding 2017.

On Wednesday, the official manufacturing Purchasing Managers' Index is believed to descend to 51.5 for January versus December’s reading of 51.6, as follows from a median estimate of 42 experts survey by Reuters.

Aside from that China is also believed to keep executing a wide-ranging crackdown in 2018 on riskier types of debt and financing. The given campaign is gradually pushing up businesses’ borrowing costs as well as making it harder and costlier for weaker companies to raise funds.


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