Naz News, Gappers and FLE's

[sludgehound]

2 China stories tonight: banks, PMI slowed.
First one is bit long to post along w/ second.
Falling Chinese Bank Deposits Add to Warning Signs on Economy
http://tinyurl.com/km6v87s
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China Manufacturing Slowed Last Month as Growth Pressure Deepens
By Bloomberg News Oct 31, 2014 9:17 PM ET

China’s manufacturing slowed further last month, as a property slump and slowdown in investment growth put the world’s second-largest economy on course for the slowest full-year growth since 1990.

The government’s Purchasing Managers’ Index (CPMINDX) was at 50.8 in October, trailing the 51.2 median estimate of analysts in a Bloomberg News survey and compared with September’s 51.1. Readings above 50 indicate expansion.

A pullback in manufacturing will test the government’s determination to refrain from broad stimulus. The economy expanded 7.3 percent in the third quarter from a year earlier, the weakest pace in more than five years.

“China’s growth remains on a downward path,” analysts led by Julian Evans-Pritchard at Capital Economics Ltd. said in a note before today’s data.

The official PMI is released by the National Bureau of Statistics and China Federation of Logistics and Purchasing in Beijing. The index is based on responses to surveys sent to purchasing executives at 3,000 companies.

A property downturn dragged the economy to its lowest growth in five years last quarter. China will “stabilize” property-related consumption and make it easier for people to access mandatory housing savings, according to a government statement citing a State Council meeting chaired by Premier Li Keqiang. This came after the central bank on Sept. 30 relaxed mortgage rules for homebuyers who have paid off existing loans.

China will support consumption in six areas, including property, e-commerce, environment-friendly products and tourism, according to the statement.

The preliminary reading of another manufacturing PMI from HSBC Holdings Plc and Markit Economics released last month rose to 50.4 in October from 50.2 in September. The final reading for October is due on Nov. 3.

To contact Bloomberg News staff for this story: Xiaoqing Pi in Beijing at [e-mail]

To contact the editors responsible for this story: Malcolm Scott at [e-mail] James Mayger