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China services activity grows at slowest pace in a year

Activity in China’s services sector grew at the slowest pace in a year in September as market optimism weakened, according to a Caixin-sponsored survey published Monday, reports Caixin. The Caixin China General Services Business Activity Index, which provides an independent snapshot of operating conditions in industries such as retail and tourism, came in at 50.3 in September, down 1.3 points from the previous month.

A reading above 50 indicates an expansion in activity, while a number below signals a contraction.

The index, also known as the Caixin China services PMI, is one of the earliest available monthly indicators of business activity in the world’s second-largest economy. The services sector accounted for about 57% of China’s GDP in the first half of the year, according to government data.

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