China's Industrial Output Slowing Further
A key indicator of China's factory output fell last month, adding to the continuing slide in growth in the sector. This is causing worries globally, as manufacturing is a major driver of China's economy. Even analysts didn't expect the result.
The official Purchasing Managers Index for manufacturing, or PMI, stood at 49.4 in January. That's the lowest level in three years and five months.
A reading below 50 suggests a contraction.
The index has remained below that level for six consecutive months.
The latest non-manufacturing PMI is also out. Officials say it dropped from 54.4 in December to 53.5 in January.
That sector has been one of the few bright spots in the Chinese economy over the past year, helping to offset the slump in manufacturing.
But we're learning that they're both losing steam.