🇨🇳❗️Cable FX Macro Weekly Note: China May Mfg PMI

**As seen in Risk In The Week report 05/26/24,subscribe at cablefxm.co.uk/reports

April China's manufacturing PMI printed at 50.4 vs the prior 50.8, this was higher than the estimate of 50.3. While manufacturing remains in expansionary territory, the services index dipped from 53.0 to 51.2, a downside surprise to the consensus of 52.3. This week will show if the Chinese recovery is set to extend, analysts are likely to focus on private demand, and weakness is likely to be followed by calls to step up fiscal support. The market consensus on Chinese activity indicators stands in line with Wells Fargo's outlook, they expect the economy to slow down in the medium-to-longer term. Economists at Wells Fargo added that structural challenges and geopolitical tensions are likely to cap growth in the coming years, they pencil output rising by 4.3% in 2025 after achieving this year's growth of around 5%.