All Eyes on Manufacturing as Economic Barometer

Washington, DC, July 1, 2010--International manufacturing growth from China to the euro-region slowed in June, suggesting the global export-led recovery is losing strength, according to Bloomberg News.

In China, manufacturing growth slowed more than economists forecast, and a gauge of factory output in the 16-member euro region weakened for a second month, two surveys showed.

The U.S. Institute for Supply Management’s manufacturing index due today probably also declined, according to the median forecast of 79 economists in a Bloomberg News survey.

Limited demand in advanced economies has left the world reliant on emerging markets, led by China, to drive a recovery that Group of 20 leaders this week described as “uneven and fragile.” Signs of a slowdown as the Chinese government clamps down on property speculation and the effects of its stimulus package fade have unsettled investors.

The ISM index manufacturing index probably fell to 59 in June from 59.7, according to median forecast of economists. The Tempe, Arizona-based ISM’s report is due at 10 a.m.