China manufacturing index better than expected

The HSBC China PMI rose to a better than expected 50.8 in June, and grew for the first time this year.

What’s the point? There has been growing concern in the investment community about the pace of growth of China’ economy. A significant slowing in the Chinese economy would have significant repercussions for global growth. Today’s China PMI data offers support that recent measures taken by China to encourage growth may be having some positive effects. While the Chinese economy is slowing, we believe the Chinese government has significant financial resources and policy flexibility to apply in supporting growth. That said, a significant risk for the Chinese economy remains a very high level of debt leverage built over the past five years primarily to support a real estate boom.

Link: http://money.msn.com/business-news/article.aspx?feed=OBR&Date=20140623&ID=17722476&topic=TOPIC_ECONOMIC_INDICATORS&isub=3