Growth in China’s services sector activity picked up for the first time in five months in August, official data showed on Saturday, reported Reuters.
The official non-manufacturing Purchasing Managers’ Index (PMI) rose to 53.8 from 53.7 in July. It stayed well above the 50-point mark that separates growth from contraction.
The services sector accounts for over half of China’s economy, providing an important buffer as trade tensions with the United States escalate. But growth has been generally cooling over the past year amid a broader slowdown, which is making businesses and consumers more cautious on spending.
The official August composite PMI, which covers both manufacturing and services activity, dropped to 53.0 from July’s 53.1.