While much will be made of the greater-than-50 level for HSBC's China Services PMI, we note that the drop in the last two months is the largest in 15 months and takes the *index back to its lowest levels since August 2011*. While China's Manufacturing PMI was lauded as evidence that all is well and the slowdown has stopped, we note that in the history of the China Services PMI, it *has only been lower than the current print in five of the forty-four months*. It seems perhaps the transition is not going quite as according to plan.Source: MarkitEconomics
Reported by Zero Hedge 46 minutes ago.