China Dec HSBC factory PMI contracts to 7-month low

The final HSBC/Markit Purchasing Managers' Index (PMI) for December came in at 49.6, just below the 50 level that separates growth from contraction.

SHANGHAI: Activity in China's factory sector shrank for the first time in seven months in December, a private business survey showed on Wednesday, highlighting the urgency behind a series of surprise easing moves by Beijing in the past two months.

The weak performance will add to the debate over whether Beijing needs to engage in more policy easing or fast-track market reforms to stimulate demand – or both.