The Chinese economy contracted in January, according to an official purchasing managers’ index which showed the manufacturing sector has been shrinking for the past six months. The manufacturing PMI showed a reading of 49.4, missing economists’ expectations of 49.6 and slightly less than the 49.7 reading for the previous month.
Any score below 50 shows the sector contracted. It is the lowest reading since August 2012.
Last spring the sector looked like it was pulling away from a brief contractionary blip at the start of the year, but it has now been declining for six straight months.
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