China’s Flash PMI tanks

Wednesday, 23 November 2011

The Chinese Flash PMI for November just hit the market and it’s bad news falling from 51 in October to 48, a 32-month low.

Worse, look at the components above. New export orders actually rose, as I expected, probably on US demand. That means the slowdown is internal and that’s before we get much flow through from a rapidly deteriorating global economy.

This report puts a Chinese hard landing scenario back in everyone’s mind. Time to sell.

View Press Release

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.