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China's July services activity quickens to 11-month high: survey
[BEIJING] Activity in China's services sector expanded to its fastest pace in 11 months in July, a private survey showed on Wednesday, offseting some downward pressure on the world's second largest economy as the manufacturing sector falters.
The Caixin/Markit Purchasing Managers' Index (PMI) rose to 53.8 from June's reading of 51.8, hitting the highest level since August 2014 and marking the 12th straight month of expansion.
A reading above 50 points indicates growth on a monthly basis, while one below that points to a contraction.
A sub-index measuring new business jumped to 54.0 from June's 52.2 while the employment sub-index also edged up, indicating increased hiring on stronger new businesses China's official services PMI released on Saturday showed that activity quickened slightly in July from the previous month.
The relatively resilient services sector could help offset some downward pressure on the economy as the manufacturing sector struggles to cope with weaker demand at home and abroad.
The final Caixin/Markit factory survey showed activity contracted the most in two years in July while the official PMI showed manufacturing growth unexpectedly stalled.