Is China’s economic recovery losing momentum?

China’s manufacturing purchasing managers’ index for July, out on July 31, will be closely watched for signs of slower growth as the country’s economic recovery from the effects of coronavirus shows signs of waning.

Economists polled by Bloomberg expect a reading of 50.8 this month, compared with 50.9 in June, its lowest level since February. A measure of more than 50 indicates expansion.

Markets have focused closely on any indication that China’s economic recovery is losing momentum. Investor concerns have emerged following disruption in the country’s southern ports from a coronavirus outbreak last month, higher costs of raw materials and an electricity shortage in recent months damping manufacturing activity.