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- China service sector activity rebounds in July
China service sector activity rebounds in July
RTTNews reports that survey results from Caixin/IHS Markit showed that China's service sector activity logged a steeper growth in July as the successful containment of the recent uptick in COVID-19 cases led to greater customer numbers and boosted new order intakes.
At 54.9 in July, the PMI rebounded from June's 14-month low of 50.3 and signaled a sharp and accelerated expansion of services activity.
New order growth accelerated in July as the containment of the virus domestically boosted customer numbers and demand. Nonetheless, new export business remained broadly stagnant. Although marginal, service sector employment returned to growth in July.
On the price front, the survey showed that the rate of input cost inflation accelerated in the latest survey period. Consequently, prices charged by services companies increased, as firms looked to alleviate pressure on their operating margins.
In July, the composite output index came in at 53.1, up from a 14-month low of 50.6 in June, to point to a stronger rise in overall Chinese business activity.
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