Aberdeen's Young: China slowdown 'beneficial' to global economy

Aberdeen's Hugh Young has said a China slowdown will be "beneficial" to the global economy, after manufacturing growth dropped to its lowest level in over two years.

China's purchasing managers index (PMI) posted the lowest figure since February 2009, dropping to 50.9% for the month of June compared to a previous 52%. Young, managing director of Aberdeen's Asian business, who overlooks the £2.2bn Asia Pacific fund, blamed the weak data on soaring wage costs, which have doubled over the past three years. He said the cooling Chinese economy will ease pressure on commodity prices and have a knock-on effect for the rest of the world, helping tackle rising inflation. "The Chinese demand for raw material and steel is falling, which is actually a posi...