Activity in China’s services sector accelerated to a 14-month high in March, according to a Caixin and IHS Markit survey, said the Financial Times.
The Caixin Chinese services business activity index rose to 54.4 in March from 51.1 in February, the fastest increase since January 2018. Readings above 50 signify expansion.
The improved outlook for the services sector comes after Caixin’s manufacturing purchasing managers’ index showed the sector returned to growth in March.
Zhengsheng Zhong, the director of macroeconomic analysis at CEMB group said China’s economic fundamentals showed improvement in March but that sentiment remained cautious. He added that more evidence was needed “to determine whether the Chinese economy has stabilized.”