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Still, the below-50 readings in the HSBC PMI suggest that activity and demand remain soft and that a strong rebound in the fourth appears unlikely, Barclays Capital analysts led by Jian Chang in Hong Kong warned on Wednesday.
Analysts at Barclays Capital, led by Jian Chang in Hong Kong, said the latest data supports their forecast that real GDP growth is likely to slow to 7.3 percent in the third quarter from 7.6 percent in the second quarter.
Looking ahead, the Autumn Canton trade fair from October 15 to November 4 will be important to watch for in terms of assessing whether such improvements can be sustained into the fourth quarter, Barclays analysts led by Jian Chang in Hong Kong told clients in a note over the weekend.