China NBS Manufacturing PMI beats expectations in Jan, points to a stable start to activity in 2017

China’s National Bureau of Statistics (NBS) reported manufacturing purchasing managers index (PMI) data for the month of January which showed that growth stabilization has been carried into the new year.

China's official manufacturing purchasing managers' index (PMI) slipped marginally to a reading of 51.3 in January from December's 51.4. Data fractionally exceeded market expectations at 51.2.

The report showed that activity levels across China’s manufacturing sector continued to improve in January and points to promising start to the year. Official PMI is heavily skewed to readings from medium to large state-owned enterprises. Markets now await the "unofficial" Caixin manufacturing PMI with its heavier weighting towards smaller, privately owned businesses.

Capital Economics' China economist Julian Evans-Pritchard said the data suggests China's recent recovery appears to remain largely intact for now.