The latest recovery in China could already be rolling over

From Global Economic Trend Analysis:
In December I suggested the modest bounce in China PMI would not last. It didn't. The allegedly sustainable recovery in China is already in question.
The HSBC Flash China Manufacturing PMI™ shows manufacturing conditions barely above contraction.  
Key points
•   Flash China Manufacturing PMI™ at 50.4 (52.3 in January). Four-month low.
•   Flash China Manufacturing Output Index at 50.9 (53.1 in January). Four-month low
... Those expecting China to be in some sort of sustainable recovery with Europe in a major recession and the U.S. in a big slowdown if not outright recession are a bit delusional.
Please consider China's Premature Overheating:
China began this year with an off-the-charts explosion in credit issuance. Last week, it broke records again, this time for the amount of cash drained from its banking system.
The record credit issuance of 2.5 trillion yuan ($400 billion) in January — comprising both bank lending and non-bank financial institutions’ credit — always looked as if it was verging on the reckless.
The surprise perhaps is that this reversal came so early...
More on China:
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