Activity levels across China’s economy improved at the fastest pace in years in September, according to Purchasing Managers Indices (PMIs) released by China’s National Bureau of Statistics today.
The nation’s manufacturing PMI jumped 0.7 points to 52.4, leaving it at the highest level since April 2012.
That was also well above the 51.5 level that had been expected by economists.
The PMI measures perceived changes in activity levels across China’s manufacturing sector from one month to the next. Anything above 50 signals that activity levels are improving while a reading below suggests they’re deteriorating. The distance away from 50 indicates how quickly activity levels are expanding or contracting.
So at 52.4, activity levels across the sector improved at the fastest rate in over five years
We can see evidence of this having an effect on many stocks in the materials sector of ASX, or those like Monadelphous (MND) which benefit from a mining rally