Spain manufacturing sector posts more solid growth in December

Chinese industry
Spain manufacturing sector posts more solid growth in December

02 January, 2018

Turkish manufacturing activity expanded in December for the 10th consecutive month as increases in rates of new orders, hiring and output all remained robust, a business survey showed on Tuesday.

The Caixin/Markit manufacturing Purchasing Managers' Index came in at 50.8 for last month - the lowest level in five months, Caixin and IHS Markit said in a. It was also lower compared to the 55.7 reading posted a year earlier. In breakdown, the new order index for the service sector increased slightly slower month on month to 50.9, and that for the construction sector rose at a faster pace to 58.1.

The World Bank last month raised its projection for China's gross domestic product (GDP) past year to 6.8%, up from its October estimate of 6.7%, citing support from strong exports and robust domestic household consumption.

The slowdown was reflected in the drop in buying activity in December, the sharpest decline since September.

This signalled a broad stagnation in the goods-producing economy, following the strongest growth in over three-and-a-half years in the previous month.

Chinese vehicle maker buys $3 billion-plus stake in AB Volvo
Selling the stake in the company was Cevian Capital - an investor group. The deal will make Geely the largest individual shareholder in AB Volvo.

At the annual Central Economic Work Conference (CEWC) chaired by President Xi Jinping, top policymakers pledged to focus on creating "high quality" growth.

"Given the strong conditions evident in the manufacturing sector, it is no surprise to see that firms are upbeat about the outlook", Philip O'Sullivan, economist with Investec, said. Concerns over relatively subdued client demand and government policy changes dampened confidence.

The rate of input cost inflation ticked down from November.

The Caixin PMI focuses more on light industry, while heavy industry makes up a larger share of the NBS survey.

The manufacturing sector employed less people as the sub-index of employment dropped 0.3 percentage points month on month to 48.5 in December.

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