China services activity quickens on stronger domestic demand, private PMI shows | WSAU News/Talk 550 AM · 99.9 FM

BEIJING, Sept 3 (Reuters) – China’s services activity expanded at a faster pace in August, a private-sector survey showed on Thursday, with ​stronger domestic demand helping firms add staff ‌for a fourth consecutive month.

The RatingDog China General Services PMI rose to 51.4 in August from 50.4 in July, remaining above the 50-point mark that separates growth from ‌contraction. ​However, it was still the ⁠second-lowest reading in 14 ⁠months.

The reading was in contrast with the official survey on Monday, as analysts said sluggish domestic demand weighed on services activity despite the ​summer travel peak. The divergence likely reflects differences in the two surveys’ coverage and sampling ⁠methods.

According to the RatingDog ⁠survey:

• New business increased at a ​faster pace after hitting a four-month low in July. ​Domestic demand was the main driver, as ‌new export business grew at a slower rate.

• Service-sector employment rose for a fourth consecutive month, marking the longest stretch of job creation since ⁠2023.

• Input prices rose for an 18th consecutive month. Firms cited higher labour, materials, fuel and equipment-replacement costs.

• ⁠Business confidence over ‌the coming year improved from ⁠July, supported by plans for expansion, ​new projects, ‌promotions and expectations of stronger market ​demand.

• The ⁠RatingDog China General Composite PMI, covering manufacturing and services, rose to 52.1 in August from 50.8 in July, indicating faster growth in overall private-sector activity.

(Reporting by Ellen Zhang and Ryan Woo; Editing by ​Jacqueline Wong)