The Caixin China General Manufacturing PMI unexpectedly slowed to its lowest level in three months, coming in for December 2019 at 51.5, missing expectations and lower than November’s near three-year high of 51.8.  New orders growth slowed for the second month in a row.

Analysts had expected the private manufacturing PMI to come in at 51.7 for December.

China released official manufacturing PMI for December on Tuesday, which came in slightly above expectations at 50.2.

The official PMI survey typically polls a large proportion of big businesses and state-owned enterprises. The Markit/Caixin survey features a bigger mix of small- and medium-sized firms.

“Subdued business confidence was a major factor behind the economic slowdown this year…As the phase one trade deal between China and the U.S. has sent out positive signals, there is room for a recovery in business confidence, which should be able to help stabilize the economy.” — Zhengsheng Zhong, director of macroeconomic analysis at Caixin subsidiary CEBM Group.