China's factory activity grew at its fastest pace in six months in December, driven by production hikes and easing price pressures, but a weaker job market and business confidence added uncertainty, a private survey showed on Tuesday.
The Caixin/Markit Manufacturing Purchasing Managers' Index rose to 50.9 in December - its highest level since June. Economists in a Reuters poll had expected the index to rise to 50.0, which separates growth from contraction on a monthly basis, from November's 49.9.
But the survey also showed new export orders fell, albeit at a slower pace, and a gauge for employment continued to contract, hitting the lowest level since February. The world's second-largest economy has lost momentum since the early summer after rebounding from last year's pandemic slump, weighed down by a slowing manufacturing sector, debt problems in the property market, and small-scale COVID-19 outbreaks.
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