China’s Services Sector Expands While Employment Shrinks, Caixin PMI Shows

Activity in China’s services sector grew for the 16th straight month in April on strong demand both at home and abroad. The labor market, however, remained in contraction, according to a Caixin-sponsored survey published Monday.

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