China's factory activity likely contracted more slowly in January: Reuters poll

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China's factory activity likely contracted more slowly in January: Reuters poll
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BEIJING : China's factory activity in January is expected to have contracted more slowly than in December, a Reuters poll showed on Monday, with production hampered by many workers falling sick after the government dismantled its 'zero-COVID' controls.The official manufacturing purchasing managers' index

BEIJING : China's factory activity in January is expected to have contracted more slowly than in December, a Reuters poll showed on Monday, with production hampered by many workers falling sick after the government dismantled its"zero-COVID" controls.

An index reading above 50 indicates expansion in activity on a monthly basis and a reading below indicates contraction. The official manufacturing PMI, which largely focuses on big and state-owned firms, and its survey for the services sector, will be released on Tuesday. Eighty percent of people in China had already been infected with COVID-19 before festivities began, according to China's chief epidemiologist, with the"exit wave" passing through the country faster than economists had anticipated and bringing fewer disruptions too.

The world's second-largest economy continues to face major external headwinds on the demand-side, however, with China's export-orientated manufacturers continuing to report shrinking order books as fears of a global recession linger.

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