China 's Caixin Feb Services PMI misses expectations

China 's Caixin February Services PMI came in at 52.6 vs 53.1 last, while its composite was 52.6 vs 52.2 last.

Summary – Services and Composite PMI data

The Caixin China Composite PMI™ data (which covers both manufacturing and services )indicated a slight improvement in the rate of output expansion across China in February. The Composite Output Index rose from January’s four-month low of 52.2 to stand at 52.6 in February, to signal a moderate increase in overall Chinese business activity.

Commenting on the China General Services PMI™ data, Dr. Zhengsheng Zhong, Director of Macroeconomic Analysis at CEBM Group said: “The headline Caixin China General Services PMI fell 0.5 points from a month ago to 52.6 in February, to signal the slowest expansion in four months. Growth in new business was unchanged compared with the previous month, while the subindices of input prices and output charges declined since January."

Dr. Zhengsheng Zhong added: "The Chinese economy continued to recover in February, but the expansion in services decelerated, though there was a pickup in manufacturing expansion. Inflationary pressures seemed to have started to ease as price increases in both manufacturing and services continued to weaken. The Chinese economy is expected to maintain the growth momentum in the first quarter of this year. But signs of weakening may emerge from the second quarter.”