Growth accelerated in China’s tertiary sector in June, driven by upticks in new business, employment, and price increases, according to a monthly survey by Caixin.
The Caixin-Markit General Services Business Activity Index, which surveys business leaders from industries such as financial services and retail, jumped from 52.9 to 53.9 last month – comfortably beyond the neutral 50 benchmark.
The data showed that new business with services providers accelerated in June due to new product offerings and marketing strategies. Companies also took on new staff at the fastest rate in 10 months, helping to reduce backlogged orders.
Input cost inflation was a point of concern for some survey respondents, with the business confidence reading contracting slightly from May.