By Richard Silk
BEIJING--The preliminary HSBC China Manufacturing Purchasing
Managers Index, a gauge of nationwide manufacturing activity, rose
slightly to 48.3 in April, compared with a final reading of 48.0 in
March, HSBC Holdings PLC said Wednesday.
The index was still in negative territory, as a reading below 50
indicates contraction from the previous month, while one above 50
indicates expansion.
Manufacturing output and new orders continued to fall during the
month, HSBC said, though at a slower rate than in March. New-export
orders also fell in April after an improvement last month, while
employment declined at a faster rate.
"Domestic demand showed mild improvement and deflationary
pressures eased, but downside risks to growth are still evident as
both new export orders and employment contracted," HSBC economist
Qu Hongbin said in a statement.
The preliminary PMI figure, also called the HSBC Flash China
PMI, is based on 85% to 90% of total responses to HSBC's PMI survey
each month, and is issued about one week before the final PMI
reading.
Write to Richard Silk at richard.silk@wsj.com