China’s Caixin Services Purchasing Managers’ Index (PMI) rose sharply to 52.0 in October, surpassing the anticipated 50.5 and indicating a stronger-than-expected expansion in the services sector. This rise underscores a robust recovery in service activities, as any reading above 50 signals growth.
The jump in the PMI reflects increased demand and resilience within China’s domestic services industry, a positive indicator amid broader global economic challenges. This improvement follows recent policy support from the Chinese government, aimed at stabilizing economic growth and fostering consumer confidence.
Analysts suggest that this PMI rise may bolster optimism around China’s economic outlook, especially as the services sector plays a pivotal role in the country’s post-pandemic recovery. The stronger-than-expected figure highlights the potential for sustained growth, despite headwinds from slower global demand and trade uncertainties.
