look news india
Mumbai: The country's services sector showed improvement in June after falling to a five-month low in May. The HSBC Purchasing Managers' Index (PMI) for the services sector rose from 60.20 in May to 60.50 in June due to strong growth in new orders and foreign sales. While India's services sector has seen growth, China's services sector activity has fallen to an eight-month low.
An index above 50 indicates expansion in that sector. The PMI for May was at a five-month low. A survey report prepared by HSBC said that the PMI improved in June due to an increase in new orders and strong sales in the export market.
The increase in the number of employees is also the highest since August 2022. Service providers have been forced to hire employees to meet new orders.
The June PMI remained well above the long-term average.
The report said that there has also been a slow increase in the charges for providing services due to slight increase in the prices of raw materials.
Optimism among service provider managers for the next twelve months remains strong. The manufacturing PMI for June also rose, as did the composite services and manufacturing PMI.
Indian service sector companies have significant presence in countries like Australia, Asia, Europe, America.
Meanwhile, China's services sector PMI for June fell to 51.20, an eight-month low. Optimism among service providers also weakened to a four-year low.
Optimism among Chinese companies is waning as a result of the global slowdown and increased competition.