100-Word Take | China's manufacturing PMI flashes red for metals

No surprises here. Nevertheless, a decline in China’s manufacturing purchasing managers' index to below 50, signalling a contraction, has shock value.

The official PMI fell to 49.4 in December and is at its lowest since 2016. Slowing industrial activity is likely to continue into 2019. A gauge of new export orders was also down.

Thankfully, the services PMI appears to be in better shape.

China’s industrial revival rests on a thaw in trade tensions and a generous economic stimulus. An ailing dragon is bad for the global economy and its effect on commodity prices remains a risk for Indian miners and metal producers.