Manufacturing PMI expanded for the second consecutive month, construction slowdown dragged down non-manufacturing PMI, UOB Group’s Economist Ho Woei Chen notes.

Economic recovery yet to become broad-based

“China’s Nov PMIs indicate further pick-up in manufacturing activities but the gains in non-manufacturing activities have stalled as construction contracted. Deflationary pressure increased in Nov after easing in Oct.”

“Recovery outlook remains weak even though the economy appears to have bottomed in the near-term after the recent stimulus measures. Market looks to the upcoming Central Economic Work Conference for hints of stronger support measures ahead.”