China's factory activity slows.

Two surveys have indicated that China's manufacturing sector slowed in December, with the official PMI falling to 51 from 51.4 in November and the HSBC print slipping to 50.5 from 50.8. New export orders disappointed in both readings, while employment contracted further in the official index. "Domestic and overseas demand was weaker than expected," says economist Li Heng. "The economy is under some downward pressures but the slowdown remains modest." Notwithstanding, the data has put a bit of a damper on the mood in the markets.