China’s Services Sector Posts Slower Growth With Sharp Drop in Jobs, Caixin PMI Shows

Activity in China’s services sector grew for a 14th straight month in February, but at a slower pace than the previous month, with the sharpest contraction in employment since December 2022, according to a Caixin-sponsored survey released Tuesday.

The Caixin China General Services Business Activity Index, which provides an independent snapshot of operating conditions in industries such as retail and tourism, fell 0.2 points in February from the previous month to 52.5. A reading above 50 indicates an expansion in activity, while a number below signals a contraction.