China Services Activity Eases as Concerns Mount Over Rebound
- Caixin services PMI drops to 56.4 in April from 57.8 in March
- Unlike manufacturing, the services sector is still expanding
The recovery of the world’s second-largest economy has been lopsided, with demand for goods slowing as consumers increase spending on services such as travel and restaurants.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China’s services sector expanded at a slower-than-expected pace in April, adding to concerns about the economy’s recovery after data this week signaled a contraction in factory output.
The Caixin China services purchasing managers’ index slid to 56.4 in April from 57.8 the previous month, Caixin and S&P Global said in a statement Friday, lower than economists’ median forecast of 57. Any reading over 50 indicates an expansion from the prior month, while a number below that suggests contraction.