THE HSBC flash manufacturing purchasing managers index, the earliest indicator of China industrial activity, stood at 49 in December.

Although still in the contraction zone, it shows a modest pick-up from November's 47.7.

In the meantime, new export orders climbed back above the 50 level.

The latest data has fuelled expectations that China would take more forceful measures to bolster economic growth and save jobs if Europe's debt crisis worsens markedly.

Source:cntv.cn