Business sentiment in China is suffering amid threats of deflation and slowing demand.
The MNI China Business Indicator fell 0.9 per cent this month to 52.8. This is the second straight monthly drop and the lowest score since October, though a figure above 50 still indicates optimism.
The survey from MNI, a part of Deutsche Börse Group, is culled from 200 companies listed on the Shanghai and Shenzhen stock exchanges. It said production fell to a four-month low in February, while new orders decreased to the lowest level since last April.
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