China manufacturing PMI rises to 49.1 from 48.3, but still showing contraction: HSBC

HONG KONG (MarketWatch)
China's manufacturing activity contracted further in April, although the sector improved from levels seen in March, a preliminary reading from HSBC showed Monday
HSBC's so-called "flash" Purchasing Managers' Index rose to 49.1 in April, compared with a final reading of 48.3 in March
A reading below 50 shows contraction, while one above 50 indicates an expansion
The improvement in factory conditions in April "suggests that the earlier easing measures [from Beijing] have started to work and hence should ease concerns of a sharp growth slowdown," said Hongbin Qu, chief economist for China at HSBC
He added, however, that additional policy-easing measures were required to support the economy and said HSBC expects monetary and fiscal easing to speed up in the quarter ending June 30
The flash PMI is based on responses from 85% to 90% of those surveyed in a given month