Reported Earlier, China Manufacturing Purchasing Managers Index For February 49.1 Vs. 49.1 Est.; 49.2 Prior
Portfolio Pulse from Benzinga Newsdesk
China's Manufacturing Purchasing Managers Index (PMI) for February was reported at 49.1, aligning with estimates but slightly below the prior month's figure of 49.2. This indicates a continued contraction in the manufacturing sector.
March 01, 2024 | 5:34 am
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The iShares China Large-Cap ETF (FXI), which tracks the investment results of an index composed of large-capitalization Chinese equities, may experience short-term price fluctuations due to the reported PMI figures indicating a contraction in China's manufacturing sector.
The PMI is a significant economic indicator that reflects the health of the manufacturing sector. A figure below 50 indicates contraction. As FXI is heavily influenced by the performance of the Chinese economy, particularly its large-cap sectors, the contraction suggested by the PMI could lead to negative investor sentiment in the short term, potentially impacting FXI's price negatively.
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