BEIJING, March 3 (Xinhua) -- China's service sector slowed inFebruary, with a private survey released Friday showing that anindex for the sector fell from the previous month.
The Caixin General Services Purchasing Managers' Index (PMI)slipped to 52.6 in February from 53.1 in January and the 17-monthhigh of 53.4 in December 2016, according to the survey conducted byfinancial information service provider Markit, sponsored by CaixinMedia.
A reading above 50 indicates expansion, while a reading belowrepresents contraction.
New orders placed with service providers continued to climb lastmonth on improved demand and expansion in new markets, but thegrowth rate was unchanged from January.
The increase in job creation weakened slightly in February fromthe preceding month, according to the survey, which is based onmonthly data compiled from purchasing executives at more than 400companies.
Inflation pressure softened in February with service companiesregistering the lowest increase in their costs since November.Competitive market pressures also undermined firms' pricing power,leading to services prices barely changing from January.
Figures published Wednesday showed the Caixin China GeneralManufacturing Purchasing Managers' Index (PMI) rose to 51.7 lastmonth from 51.0 in January.
As a result, the Caixin China Composite Output Index, whichcovers both manufacturing and services, increased to 52.6 inFebruary from 52.2 the previous month.
"The figures suggest that China's economic growth continued torecover in February," said Zhong Zhengsheng, director ofmacroeconomic analysis at CEBM Group, a subsidiary of CaixinInsight Group.
The Chinese economy grew by a stronger-than-expected 6.8 percentin the last three months of 2016, picking up from 6.7 percentgrowth in the January-September period.
The recovery looked to have gained traction as the latestofficial data showed that exports and inflation both increased thisyear.
Some analysts, however, said uncertainties such as expectedcorrections in the property market and financial risks might affectthe sustainability of stronger growth.
The National Bureau of Statistics Wednesday published itsnon-manufacturing business activity index, which fell to 54.2 lastmonth from 54.6 in January. Enditem
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Good Eats
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