China's factory outlook holds firm; manufacturing PMI at 51 in May

A gauge of China’s manufacturing industry was little changed in May as soaring input prices weighed on smaller factories, suggesting the economy’s recovery momentum might have peaked for now.
 
The official manufacturing purchasing managers’ index slowed slightly to 51 in May, the National Bureau of Statistics said. The non-manufacturing gauge, which measures activity in the construction and services sectors, climbed to 55.2. Readings above 50 indicate an expansion in output.
 
The official manufacturing reading pointed to a stabilisation in output, with the fewer working days in the month compared to April possibly affecting the results. Recent rapid increases in commodity prices are weighing on the profitability of companies, especially those that purchase raw materials like metal ores or coal, while new orders from overseas fell into contraction territory.  

 

Beijing wrecks IPO plans for high-flying education start-ups
 
China is escalating a crackdown on its online education sector, forcing once high-flying startups to mothball plans for multi-billion-dollar ipo this year. The education ministry plans to create a dedicated division to oversee all private education platforms for the first time, as per people familiar with the matter.
 
Beijing is zeroing in on tutoring startups that thrived when schools sent students home, then launched a marketing free-for-all regulators say is funnelling millions of kids into mind-numbing virtual classes with uncertain benefits.