China 10Y Yield Rebounds
2026-06-03 03:48
By
Czyrill Jean Coloma
1 min. read
China’s 10-year government bond yield edged up to 1.71% on Wednesday, rebounding from a near ten-month low reached in the previous session, as investors reassessed the outlook for the domestic economy amid mixed PMI data.
A private survey showed China’s Composite PMI rose to a three-month high of 54 in May, with the services PMI also reaching a three-month peak of 54.4.
However, manufacturing momentum weakened, with the PMI slipping to 51.8 from April’s five-year high of 52.2.
Earlier this week, official data revealed that Composite PMI rose to 50.5 from 50.1, supported by a modest improvement in non-manufacturing activity (50.1 vs 49.4), while the manufacturing PMI slipped back to the expansion-contraction threshold of 50 from 50.3.
Investors now await a new batch of key economic data next week, particularly trade balance and inflation figures, which are expected to offer further clues on the strength of external demand and price pressures amid ongoing tensions in the Middle East.