China official PMI slips to 50.1 in June

BEIJING (REUTERS) - China's official purchasing managers' index (PMI) slipped to 50.1 in June from 50.8 in May, an official survey showed on Monday, reinforcing worries about tepid growth in the second quarter.

The PMI reading, published by the National Bureau of Statistics, was slightly stronger than market expectations of 50.0 in a Reuters poll.

A reading above 50 indicates expanding activity while a reading below that level points to a contraction.

A sub-index measuring new orders dropped to 50.4 in June from 51.8 in May, indicating weaker demand for Chinese goods.

A PMI survey sponsored by HSBC, which focuses more on small- and medium-sized firms in the private sector as compared with the official one, is scheduled to be published on 0145 GMT (9.45am Singapore time).

Its preliminary June reading, published on June 20, fell to 48.3, slipping under the 50-point level for the second time since October as new orders shrank.