FXStreet (Guatemala) – Analysts at Danske Bank explained that China will continue be in focus next week.
Key Quotes:
“The Chinese stock market has stabilised in recent days. Next week the main hurdle for China’s stock market will be the official manufacturing PMI usually published by China’s National Bureau of Statistics (NBS). The NBS manufacturing PMI is usually less volatile than the Markit/Caixin Manufacturing PMI, which declined from 47.8 in July to 47.1 in August.”
“However, the direction for the two manufacturing PMIs tends to be the same. Hence, this suggests the NBS manufacturing PMI will also decline in August, albeit less. We expect the NBS manufacturing PMI to decline to 49.8 in August from 50.1 in July. It is also worth watching the development in the Markit/Caixin service PMI and the NBS non-manufacturing PMI. Both improved in July, suggesting that the service industry has so far been resilient to the stock market turmoil that started in June.”
(Market News Provided by FXstreet)