The Caixin China services PMI is out today and what is usually a pretty marginal indicator seems suddenly to have crystallised lurking China slowdown fears:
The Caixin China Composite PMI™ data (which covers both manufacturing and services) pointed to a weaker increase in total Chinese output at the end of the first quarter. At 52.1 in March, the Composite Output Index fell from 52.6 in February to signal the slowest increase in Chinese business activity for six months.
Similar trends were seen at the sector level, with both manufacturers and service providers noting slower expansions in output. Furthermore, the rate of services activity growth weakened to a six-month low in March. This was highlighted by the seasonally adjusted Caixin China General Services Business Activity Index posting at 52.2, down from 52.6 in February, which was consistent with only a modest rate of increase. Chinese manufacturing production also rose modestly in March.