Overall Chinese business conditions continued to improve in February as new orders rose and production ramped up, the results of the Flash MNI China Business Sentiment Indicator suggest.
The flash overall conditions index improved further into expansion in February at 61.79, up from 55.16 in the final January result and 52.22 in December.
The flash indicator is based on around 80% of the responses gathered for the official indicator release on the last Friday of every month. The flash indicator is released exactly one week ahead of the official result and is designed to give a preliminary reading of Chinese business sentiment every month. The final MNI China Business Sentiment Indicator is released at 0935 Beijing time (0135 GMT) on the last Friday of every month. (Due to the Chinese New Year, this month’s final result will be released Thursday, February 28. The flash result is based on unadjusted data and is compared with the unadjusted data from the previous final survey.
The complete survey contains 13 indicators for current conditions, plus a further 13 questions concerning expectations for conditions in three months.
More information about the MNI China Business Sentiment Indicator can be found at https://mni-news.com.
About MNI China Business Sentiment Indicator
Questions in the Flash MNI China Business Sentiment Indicator are modeled on Japan's Tankan survey and the U.S. Institute for Supply Management's Report on Business. Results are compiled for both current conditions compared with a month ago and for expectations of conditions three months ahead.
Indicators were compiled using the Institute for Supply Management's example: adding half of the percentage saying conditions were unchanged to the percentage of those saying conditions had improved generated the index. Therefore, a result higher than 50 indicates a net positive response. Companies agreed to participate in the survey, and to provide comments about business conditions, under the assurance that individual responses would not be divulged except as part of the overall results.
Companies surveyed were all listed on domestic stock markets or in Hong Kong, although some also have foreign listings. The companies chosen were a mix of manufacturers and non-manufacturers with about 75% of the companies responding involved in manufacturing.
Market News International (MNI), a wholly owned subsidiary of Deutsche Boerse Group, is a leading real-time news agency dedicated to providing global capital markets with trading relevant information. Founded in 1983, MNI is a financial news agency with press credentials recognized by the governments and central banks of all G-7 nations. Market News International has bureaus across Europe, Asia and the United States.
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