Asian factories recover as pandemic drag eases
Asia’s manufacturing pain stopped pressing in June. This followed after China’s factory sector recovered, boosting optimism that the region has survived the worst of the novel coronavirus crisis.
China’s Caixin/Markit Manufacturing Purchasing Managers’ Index (PMI) was monitored at 51.2 in June, placing higher than May’s record of 50.7. More so, Vietnam and Malaysia’s PMIs also placed above the 50-mark separating growth from contraction. This revealed encouraging signs for policymakers struggling to salvage the virus-beaten economy.
Export-reliant economies of Japan and South Korea were dragged by the pandemic but their PMIs managed to place at 40.1 and 43.4 respectively. Though both countries advanced, their PMI readings still placed below the 50-mark threshold.