Private businesses start 2016 on weak footing

London

THE private sector began 2016 on a slightly weak note around the world, and with scant signs of inflation picking up, pressure will remain on central banks to keep or even ease their already ultra-loose monetary policies, surveys showed on Wednesday.

While eurozone businesses started the year in slightly better shape than first thought, this was partly due to firms cutting prices at the steepest rate since March.

In China, where Beijing is trying to rebalance the world's second-largest economy, activity in the services sector expanded at its fastest pace in six months, partially offsetting weakness in the vast manufacturing industry.

Worries about China's impact on the global economy have hammered stocks and commodities this year, although Britain's huge serv…