China’s Purchasing Managers’ Index (PMI) dipped in September, below the number posted in the several months prior. The data were released by the National Bureau of Statistics
The September figure was 50.8, down from 51.3 in August, 51.2, in July, and 51.5 in June. A number of 50 means that the PMI is rising. Under 50, means the measure is contracting.
It is open to interpretation as to whether the slowdown is due to coming tariffs which could affect as much has $250 billon in trade goods between the U.S. and China.
More important is the measure from October through the end of the year. As the world’s largest manufacturer, particularly for goods sold in the U.S., if the trade war bites, the PMI will drop below 50, and a portion of China’s economy will be in trouble.