Good morning and Happy New Year. China has begun 2020 by attempting to kick-start its flagging economy by pumping 800 billion yuan (£86.7bn) into it as it prepares to enter ‘phase two’ trade talks with the US.

The Caixin PMI index showed that Chinese manufacturing activity expanded in December but missed analysts' expectations.

Meanwhile, markets await manufacturing PMI data from several European economies this morning. The UK gauge is expected to come in at 47.6 for December, a slight increase on the previous month but still in contraction.

5 things to start your day

1) Beijing moved to shore up flagging Chinese growth yesterday as its central bank pumped an extra 800 billion yuan (£86.7bn) into the world’s second biggest economy.

2) Retailers are bracing for another brutal January after fewer shoppers visited stores in the run-up to Christmas. A perfect storm of lacklustre sales, heavy discounting over the festive period and hefty rent bills are expected to bring further distress to businesses this month.

3) Disney’s UK-based subsidiaries spent £1.5bn over the past six years on making the five latest Star Wars movies, according to research by The Telegraph.

4) The parlous state of the car industry has been highlighted by research showing the sector shed more than 70,000 jobs last year.

5) Boris Johnson needs to use his landslide majority to kickstart a UK economy in the grip of “prolonged stagnation”, the British Chambers of Commerce has urged.

Coming up today

No major UK companies reporting.

Economics: Manufacturing PMI (UK, Germany, France, Italy, Spain).