China Factories Jolted by Oil Prices But Activity Resumes Growth

China’s factories saw a huge run-up in input costs even as their activity expanded for the first time this year, in one of the first tangible signs of spillover from the conflict in the Middle East that’s threatening profits.

Despite higher energy prices and other disruptions caused by the war, the official manufacturing purchasing managers’ index exceeded forecasts and reached 50.4 in March, rising above the threshold separating growth from contraction.