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China factory activity up after four-month slide by Staff Writers Beijing (AFP) March 31, 2019 China's manufacturing sector ended its four-month downward trend in March, official data showed Sunday, but exports continued their long slide in the wake of the Washington-Beijing trade war. The official Purchasing Managers' Index, a measure of factory activity, rose to 50.5 in March from the previous month's contraction and three-year low of 49.2. The growth was likely driven by seasonal factors as factories ramped up production after February's Lunar New Year holidays. Some steel mills and coal power plants also increased output as winter smog restrictions end. Factory output also grew at its fastest pace in six months in March, China's National Bureau of Statistics reported, but export orders shrank for the 10th straight month amid slowing global growth and as collateral damage in the trade spat the United States. Over the last eight months, Washington and Beijing have slapped tariffs on more than $360 billion in two-way goods trade, weighing on the manufacturing sectors in both countries. US and Chinese negotiators wrapped up trade talks in Beijing on Friday ahead of another round next week, when China's economic tsar Liu He will head to Washington to continue discussions on a possible deal. China has announced a raft of stimulus measures to cushion the impact from it's cooling economy. Earlier this month, Premier Li Keqiang announced more spending on roads, railways and other big-ticket infrastructure projects, along with tax cuts worth 2 trillion yuan ($297.27 billion) to ease pressure on companies and spur employment. China announced a lower growth target of 6.0 to 6.5 percent this year, down from 6.6 percent growth in 2018. prw/gle
China banks post profits but warn of instability Beijing (AFP) March 30, 2019 Chinese banks have posted profits for 2018 but warned that domestic and global uncertainties could put downward pressure on the sector in the coming year. Bank of China (BOC) posted a profit of 192.44 billion yuan ($28.67 billion), up four percent from the previous year, which the company credited to a stable economy and "prudent monetary policy" from the Chinese government. But the sector "will face a complicated operating environment in 2019", BOC said in its annual report filed to the Hong Ko ... read more
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