China's factory sector shrank in November for the first time in nearly three years, an official purchasing managers' index (PMI) showed on Thursday, underlining the central bank's move to cut bank reserve requirements to shore up the economy.
The fall in the PMI to 49 from 50.4 in October is likely to feed worries that the global economy is on a slippery slope as the euro zone struggles to decisively tackle its two-year debt crisis. China's export orders fell sharply.
DID WE SAY, "UH-OH!"?
THE CHINESE REAL ESTATE BUBBLE HAS BURST, AND THEIR BANKS ARE IN TROUBLE.