China Caixin Manufacturing PMI 48.1 and below prior and expectations, AUD offered

Ross J Burland FXStreet

As reported by Reuters, China's factory activity contracted at a sharper pace in September as strict COVID lockdowns disrupted production and dampened sales, a private sector survey showed on Friday.

''Weakening global demand for Chinese goods also weighed heavily on the manufacturing sector, with new export orders shrinking at the fastest pace in four months.

The Caixin/Markit manufacturing purchasing managers' index (PMI) fell more than expected to 48.1 in September from 49.5 in August, below the 50-point which marks separates growth from contraction on a monthly basis.

Analysts in a Reuters poll had expected the reading would be unchanged from August.

Surveyed firms attributed the COVID-19 epidemic as the greatest impact factor, the private survey said.''

AUD/USD is falling towards the lowest levels of the session following the PMIs today, down to a low of 0.6489 at the time of writing.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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