China’s services activity picks up in October as stimulus impact emerges: Caixin PMI

China’s services activity expanded at the fastest pace in three months in October, helped by early signs that Beijing’s big stimulus push was helping improve business conditions, a private-sector survey showed on Tuesday.

The Caixin/S&P Global services purchasing managers’ index (PMI) grew to 52 in October from 50.3 in the previous month. The 50-mark separates expansion from contraction on a monthly basis.

The reading matched the official PMI released last week, which showed non-manufacturing activity, including services and construction, broke back into expansion.

“The Caixin service PMI rebounded and exceeded market expectation. This is consistent with the manufacturing PMI data,” said Zhang Zhiwei, president and chief economist at Pinpoint Asset Management

China’s economy grew at the slowest pace since early 2023 in the third quarter, with the crisis-hit property sector showing few signs of steadying as Beijing races to reach its annual growth target.

Beijing unleashed monetary stimulus and property sector support measures in September.