China's June factory activity shrinks faster than expected: official PMI

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China's June factory activity shrinks faster than expected: official PMI
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China's factory activity shrank more than expected in June, an official sur...

FILE PHOTO: An employee works at the Maanshan steel and iron factory in Hefei, Anhui province September 25, 2010. REUTERS/Stringer/File Photo

BEIJING - China’s factory activity shrank more than expected in June, an official survey showed on Sunday, highlighting the need for more economic stimulus as the United States ramps up trade pressure. The official Purchasing Managers’ Index was at 49.4 in June, unchanged from May, the survey from the statistics bureau showed. The 50-point mark separates expansion from contraction on a monthly basis.

Analysts surveyed by Reuters had forecast the PMI would remain in contraction territory, edging up only marginally to 49.5 and pointing to persistent downward pressure on the economy.

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