China's economic recovery powers ahead

CNC
Added On November 1, 2020

China's manufacturing and service sector activities stood above expansion territory for eight straight months as economic recovery continued apace amid the government's pro-growth measures.

According to latest data released by the National Bureau of Statistics, the manufacturing purchasing managers' index (PMI) came in at 51.4 in October, slightly down from 51.5 in September but above market expectation of 51.3. 
 
A reading above 50 indicates expansion, while a reading below reflects contraction.
 
The PMI for the country's non-manufacturing sector came in at 56.2 in October, up from 55.9 in September. 
 
The manufacturing and non-manufacturing PMI data bounced back after diving in February amid tight control measures against COVID-19.
 
As the country brought COVID-19 under control, the government rolled out a series of policies, including higher fiscal spending, tax relief and cuts in banks' reserve requirement rate to cushion the economy from the epidemic blow and support employment.
 
The country's economy expanded 4.9 percent year on year in the third quarter of the year, faster than the 3.2-percent growth seen in the second quarter.