Emerging market weakness led by China stagnation and Brazil’s collapse

The emerging market weakness was led by the China stagnation and Brazil's collapse. At 50.1, the Markit Emerging Market PMI remained close to the recent low of 49.6 seen in June, suggesting emerging market GDP grew at a meagre annual rate of around 4%.

With the exception of the 2008-2009 crisis, emerging markets have not seen such weak growth since 2001. A deepening downturn in Brazil was accompanied by near-stagnation in China. Better news came from modest upturns in Russia and India.