China's Caixin Manufacturing PMI misses estimates with 51.3 in June, AUD/USD unfazed
China's June Caixin manufacturing PMI came in at 51.3 vs. 51.8 expected and May’s 52.0, showing that the overall health of the country’s manufacturing sector is slowly deteriorating. The gauge hit a three-month low.
On Wednesday, China's official manufacturing PMI eased to 50.9 in June from 51.0 booked in May, the National Bureau of Statistics (NBS) reported.
Comments from Dr. Wang Zhe, Senior Economist at Caixin Insight Group
“The June reading marked the 14th consecutive month of expansion.”
“Both supply and demand in the manufacturing sector continued to expand. The gauges for output and total new orders in June remained in expansionary territory for the 16th consecutive month and the 13th consecutive month, respectively, though the rates of expansion were slower than the previous month.”
“The measure for new export orders dropped at a steeper pace than those for output and total new orders. Surveyed enterprises said the resurgence of Covid-19 in Guangdong province and overseas impacted both supply and demand.”
Market reaction
AUD/USD keeps its offered tone intact on the downbeat Chinese data, inching closer towards the six-month lows of 0.7477. The spot was last seen trading at 0.7485, down 0.16% on the day.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
