China's manufacturing activity unexpectedly slipped into contraction in July, highlighting renewed weakness in the world's second-largest economy and reinforcing expectations that policymakers may need to roll out additional stimulus to support growth, according to Reuters.
The official manufacturing Purchasing Managers' Index (PMI) fell to 49.2 in July from 50.3 in June, dropping below the 50-mark that separates expansion from contraction and marking its weakest reading in five months. The figure was also below the median forecast of 50.0 in a Reuters poll.
