China's services sector saw renewed growth in September after falling to one-year low in August, according to the findings of a private survey released Monday.
The HSBC purchasing managers index (PMI) covering the nation's private services sector climbed up to 54.3 in September from the previous month's 52.0, indicating a further expansion in business activity in the sector during September, HSBC said in the survey released Monday. The September reading hit the highest level since May. A reading above 50 indicates expansion.
"Services sector growth picked up in September thanks to rising new business flows," Qu Hongbin, chief economist for China at HSBC, said in a research note released the same day.
"This is likely an indication of a gradual improvement of domestic economic conditions due to the earlier easing measures and the stronger consumption demand in the run-up to the National Day holidays," Qu explained.
By comparison, the official non-manufacturing PMI that is mainly focused on big State-owned enterprises signals gloomier prospects.
The official survey of the nation's non-manufacturing sector showed earlier that business activity weakened to the lowest level in September since November 2010, dragged down by falling new orders.
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