FX.co ★ China suspends releases of macroeconomic data

According to the data provided on August 26 by Bloomberg, the National Bureau of Statistics of China has suspended the release of industry-specific data from its manufacturing PMI.
The reason for it was fears about the accuracy of the information, as well as insufficient data provided by some sectors of industrial production, statistics bureau spokesman Sheng Laiyun said.
At the beginning of the summer China refused to publish reports on industry’s sectors. Then it was said that the number of statistical data had increased and it needed additional time to analyze it.
China’s statisticians made corrections to the mechanism of PMI calculating early in 2013. Instead of 800 enterprises, data of 3,000 companies was calculated; besides, the number of industrial sectors was reduced from 31 to 21. According to the official data, China’s official July PMI was 50.3. Purchasing Managers’ Index is an indicator of the economic health of the manufacturing sector. If the figure exceeds 50 points, it means the expansion in the sector. If data equals 50, it suggests stagnation, and the reading below 50 indicates the contraction in the sector. Purchasing Managers’ Index is calculated for service sector as well.
China’s statistics has been repeatedly criticized by the economists. In the mid-August, a Beijing University’s employee in Shenzhen published a series of articles showing that China may be exaggerating its GDP to the tune of $1 trillion. In spring 2013, China was accused of exaggerating data on exports. Some leading western institutions estimate Chinese macroeconomic indicators using their own methods.