China manufacturing is reported to be in contraction and expansion simultaneously. The Chinese government reports expansion. The HBSC PMI says China is in contraction for the 6th consecutive month.
Obviously this is impossible, so the question is "who to believe?"
China Manufacturing Expands at Faster Pace
Bloomberg reports China’s Stocks Rise Most in Two Weeks on Manufacturing, Fee Cut
China’s stocks rose the most in two weeks after manufacturing expanded at a faster pace and the nation’s two stock exchanges said they will cut trading fees by 25 percent to attract investors.
Citic Securities Co. and Haitong Securities Co. led brokerages higher on speculation the regulators’ move may boost stock trading. Jiangxi Copper Co. and Yunnan Copper Industry Co. (000878) gained more than 9 percent after the Purchasing Managers’ Index rose to 53.3 in April, the fastest pace in a year.
“We’re definitely going to have a major bull market ahead,” Jerry Lou, the chief strategy officer at Morgan Stanley Huaxin in Shanghai, said in an April 24 phone interview.