FXStreet (Bali) - China January Caixin manufacturing PMI came at 48.4 vs 48.1 expected and 48.2 last. Summary Chinese manufacturers signalled a modest deterioration in operating conditions at the start of 2016, with both output and employment declining at slightly faster rates than in December. Total new business meanwhile fell at the weakest rate in seven months, and despite a faster decline in new export work. Nonetheless, lower production requirements led companies to cut back on their purchasing activity and inventories of inputs. On the prices front, both input costs and output charges fell again in January, though at the weakest rates in seven months. Dr. He Fan, Chief Economist at Caixin Insight Group “Sub-indexes show a softer fall in new orders, which contributed the most to the improvement in the overall figure." "Recent macroeconomic indicators show the economy is still in the process of bottoming out and efforts to trim excess capacity are just starting to show results. The pressure on economic growth remains intense in light of continued global volatility." "The government needs to watch economic trends closely and proactively make fine adjustments to prevent a hard landing." "It also needs to push ahead with existing reform measures to strengthen market confidence and to signal its intentions clearly.” For more information, read our latest forex news.