Tags: China | Service | Economic | Slowdown

China's Services Sector Weakens as Economic Slowdown Deepens

Thursday, 02 Oct 2014 09:49 PM

A gauge of China’s non-manufacturing industries declined to an eight-month low in September, adding pressure on the government to step up stimulus to counter a property downturn.

The non-manufacturing Purchasing Managers’ Index dropped to 54.0 from 54.4 in August, the National Bureau of Statistics and China Federation of Logistics and Purchasing said Friday in Beijing. Readings above 50 indicate expansion.

The reading suggests a property slump is dragging services industries, which had been among the better performing areas of the economy this year. After industrial production growth slowed to a five-year low in August and investment growth moderated, a slowing expansion of services adds a further hurdle to the government’s gross domestic product goal.

China’s financial markets are closed for national holidays.

Services accounted for 46.6 percent of gross domestic product in the first half of 2014, 1.3 percentage points higher than the same period a year earlier, the statistics bureau said in July when it released second-quarter GDP data.

Friday’s report followed the 51.1 manufacturing PMI released earlier this week.

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A gauge of China's non-manufacturing industries declined to an eight-month low in September, adding pressure on the government to step up stimulus to counter a property downturn.
China, Service, Economic, Slowdown
171
2014-49-02
Thursday, 02 Oct 2014 09:49 PM
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