Activity in China's manufacturing sector expanded again in September, an official survey showed on Saturday, which may indicate that recent positive momentum can be sustained. After a significant pick-up in March, China's official PMI slipped, falling below 50 in July before showing expansion in August. Economists say the pattern over the past few months suggested sustained economic growth, but a growing dependence on government spending and an overheated property market may pose increased risks later this year with debt levels continuing to rise.
China's yuan joins the International Monetary Fund's basket of reserve currencies on Saturday in a milestone for the government's campaign for recognition as a global economic power. The yuan joins the U.S. dollar, the euro, the yen and British pound in the IMF's special drawing rights (SDR) basket, which determines currencies that countries can receive as part of IMF loans. It marks the first time a new currency has been added since the euro was launched in 1999.The IMF is adding the yuan, also known as the renminbi, or "people's money", on the same day that the Communist Party celebrates the founding of the People's Republic of China in 1949.
Hurricane Matthew rapidly gained power on Friday, escalating to a powerful Category 4 storm as it moved over the open Caribbean sea just south of Jamaica, US forecasters said. The storm moved in a western direction about 440 miles southeast of Jamaica, where a watch indicated hurricane conditions could arrive by Monday. Tropical storm warnings were issued for parts of coastal Colombia on Friday, with Haiti also bracing for tropical storm winds and rain.