China’s service sector, which accounts for most of its revenues, had maintained a solid pace of expansion last month, although the growth sectors appeared to be slightly dimmed, a private survey report revealed earlier on Sunday, the 3rd of February, 2019.
Since the service sector displayed a much more gnarly figure, amid a bunch of harsh factory data, indicating steep slowdown, the service sector appears to be offering continued support for the world’s second largest economic superpower.
Citing statistics from the Caixin service PMI (Purchasing Managers’ Index), the figure fell slightly by 0.3 percent to 53.6 in January, from a month earlier. As the 50.0 mark has been considered widely as a cutting-off point between growth and contraction, the Caixin service PMI should be considered as riant, and when the market opens up next week, the mainland Shanghai as well as ASX 200 would likely to perform well, alongside other prominent Asian stocks exposed to Chinese exports.
Apart from that, the scale of overseas sales has been frequently found supporting the sectors, and the new export businesses are growing at the fastest pace in more than a year. The new orders have also been topped the December data by 0.3 point to 52.6.
Meanwhile, the underlying strength of Chinese service sectors, which account for over fifty percent of China’s GDP (gross domestic product), has been the key to offset the ongoing slowdown in the manufacturing sectors.