We know how China’s recovery is important for the global economy and particularly the Australian economy. Well, we had some very good news yesterday. The Purchasing Managers' Index (PMI) of China's manufacturing sector rose for the fourth straight month in March to 52.4%, up 3.4 percentage points from a month earlier. It was the first time the PMI rebounded above 50% since July 2008, when the index fell to 48.4%. A reading of above 50 suggests expansion, while one below 50 indicates contraction. Also, the index measuring new export orders rose 4.1 percentage points from February to 47.5%. The figure, although still below the threshold of expansion of 50%, showed the depth of decline has been narrowing. "The continuous rebound of the PMI not only shows the government economic stimulus package has begun to take obvious effect, but also indicates a stabilizing and warming economy," said NBS head Ma Jiantang. (www.chinaview.com.au)
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