China's economy is recovering and Europe is moving ... the biggest leap for Chinese factories in 10 years despite SK

China's economy is recovering and Europe is moving ... the biggest leap for Chinese factories in 10 years despite SK
A special survey showed - today, Monday - the growth of Chinese factory activities at the fastest pace in about 10 years last July, amid a continuous improvement of domestic demand in the wake of the Corona virus crisis, but with the continued weakness in export and employment orders.
The Caixin / Markit Purchasing Managers ’Index for the manufacturing sector rose to 52.8 points last month, compared to 51.2 points last June, to grow the sector for the third month in a row and make the largest jump since January 2011. The 50-point level separates growth from contraction.
The hopeful results generally coincide with the reading of an official survey, the results of which were released on Friday, which provides new evidence that the second largest economy in the world is back on its feet faster than expected, following the shock of the Corona virus, which has become largely under control.
“Supply and demand have both improved, for related indicators to maintain strong momentum. We still need to pay attention to the weakness in each of the countries,” said Wang Qi, chief economist at Caixin Insight Group, in a note attached to the survey results statement. From recruitment and external demand. "
China announced unprecedented exceptional measures early in the year to mitigate the economic damage to the health crisis that has caused unrest for weeks, amid strict comprehensive lockdown measures in most parts.
Growth rebounded in the second quarter of the year after a record contraction in the first quarter, but analysts are looking for indications that the recovery is not just the product of temporary factors, such as limited demand and government stimulus.

Germany

In Germany, a survey showed today that German manufacturers witnessed an expansion in activity last July for the first time since December 2018, indicating the continued recovery of the sector.
The IHS Markit purchasing managers' index of the manufacturing sector, which accounts for nearly a fifth of the economy, rose to 51.0 points last month, surpassing the 50 th level between growth and contraction, for the first time in 19 months.
Phil Smith, economist at IHS Market, linked the increase to a strong improvement in both output and new supply orders, but added that the survey indicated that demand remained below pre-crisis levels, which is preventing a stronger recovery.

Britain

In Britain, a survey showed - today, Monday - the growth of the British industrial sector production at its fastest rate in nearly 3 years last July, with the reopening of factories and the start of improvement in demand following the easing of closures to combat the Corona virus.
The IHS Markit / CIPS index of manufacturing sector purchasing managers rose to 53.3 points last month, compared to last month's reading of 50.1, its highest level since March 2019.
The output index - which IHS Markit says now gives a clearer picture of the health of the sector - rose to its highest level since November 2017, at 59.3 points.
Supply orders grew for the first time in 5 months, and the level of optimism increased by the most in two years, but the indicator represents the pace of growth, not the volume of production, and the sector still has a long way to go before returning to what it was before the shutdowns.
Official data show a 28% collapse in British factory production over the past March and April, before rising 8% in May.

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