Cracks continue to appear in China's economy
Even though China's official manufacturing purchasing managers index, to be announced Wednesday is expected to be roughly flat at 51.2 and above the psychologically important threshold of 50, which suggests confidence in future growth, some analysts are warning that increasing numbers of public-private partnerships, CNY12.73tn ($1.85tn) of which were approved by the end of December 2016, are storing trouble up for the future. Greater regulation of the property sector has also prompted fears of a slowdown, while the weak yuan adds to worries about capital outflow.
SHANGHAI -- Though a closely watched gauge of Chinese manufacturing activity is expected to point to continued growth, some observers see the risk that the public-private projects supporting the world's second-largest economy are storing up problems for the future.

The average market forecast predicts that the January reading of China's official manufacturing purchasing managers index, to be announced Wednesday by the National Bureau of Statistics and the China Federation of Logistics and Purchases, will come to 51.2. This would be roughly flat with December's 51.4 and above the psychologically important threshold of 50, which separates growth from contraction.