Economic Buzz: China?s factory activity rebounds to highest level in a year

China?s official measure of manufacturing activity improved more than expected in March, reaching its strongest level in a year and ending two straight months of decline. Growth was supported by strong export orders.

The Manufacturing Purchasing Managers? Index (PMI) rose to 50.4 in March, according to the National Bureau of Statistics, beating expectations of 50.1. A PMI reading above 50 indicates growth, while below 50 signals contraction.

This marks a recovery from January and February, when the index stood at 49.3 and 49.0, respectively. In comparison, the PMI was 50.5 in March last year.

Looking deeper, production and new orders showed growth, but areas like raw material inventories, employment, and delivery times continued to shrink.

Meanwhile, the non-manufacturing PMI, which tracks the services sector including tourism, edged up to 50.1 in March from 49.5 in February.

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