HSBC's flash purchasing managers' index for the mainland's manufacturing sector dropped to 50 from 50.4 last month, lower than Bloomberg's consensus forecast of 50.2, Daiwa Capital Markets analysts said in a report. Given that the overall demand picture remains sluggish, they expect the official reading for the index due out on December 1 to come in at 50.4. The headline reading suggested a moderate contraction of industrial activities, the analysts said.