The manufacturing sector in China remained in contraction in February, and at an accelerated rate, the latest survey from Caixin revealed on Tuesday with a PMI score of 48.0.

That missed forecasts for a score of 48.4, which would have been unchanged from the previous month.

It also moved further beneath the boom-or-bust line of 50 that separates expansion from contraction.

Output and total new orders both declined at slightly faster rates than at the start of 2016, which in turn contributed to the quickest reduction in staffing levels since January 2009.

Lower production was a key factor leading to the steepest fall in stocks of finished goods in nearly four-and-a-half years during February.

The material has been provided by InstaForex Company – www.instaforex.com