Services surge boosting growth
By Hu Xiaocen |
January 4, 2013, Friday
|
Print Edition
Print Edition
GROWTH in China's increasingly important services sector reached a four-month high in December, the latest survey showed yesterday, adding to signs the world's second-biggest economy continued to recover near year's end.
The non-manufacturing purchasing managers' index rose to 56.1 last month from 55.6 in November, the National Bureau of Statistics and China Federation of Logistics and Purchasing said yesterday. A reading above 50 indicates expansion.
"While modest, the improvement is the third straight gain, which confirms continued recovery of the Chinese economy," Dariusz Kowalczyk, senior economist for Asia except Japan at Credit Agricole, said in a research note yesterday.
Meanwhile, future expectations remained level in December from a month earlier, the highest level of the second half of 2012.
The services PMI came on the heels of a solid manufacturing PMI that showed China's economy emerging from seven quarters of slowing growth.
Both the official and private manufacturing PMIs announced this week also suggested China's economy was rebounding near year's end.
The official manufacturing PMI, also offered by the statistics bureau and the federation, remained above the dividing line at 50.6 last month, the same as November. The measure, slanted toward state-owned companies, has been above 50 for the third month.
The HSBC manufacturing PMI, which favors private and export-oriented companies, hit a 19-month high in December on a boost in purchasing activities.
Economists said they are expecting the Chinese economy to pick up momentum in the future.
"The absolute levels of both December manufacturing and non-manufacturing PMIs remain relatively low by historical standards and consistent with only a modest rebound in economic activity," Kowalczyk said. "The current economic cycle may peak this quarter," he added.
Most analysts and market observers are forecasting that China's economy will be on a much smoother keel this year, providing domestic demand expands and the specter of the eurozone debt crisis begins to release its grip on other global markets.
Huang Yiping, an economist at Barclays, said they look for a moderate recovery in 2013 as the economy transitions to a "new normal" of slower growth. China's gross domestic product in the third quarter expanded 7.4 percent from a year earlier, the slowest pace in three and a half years.
Economic data show industrial production, fixed-asset investment and retail sales all growing strongly. That has encouraged bolder market forecasts of GDP growth of up to 8 percent in the fourth quarter of 2012 and 8.2 percent in the first quarter of this year.
The non-manufacturing purchasing managers' index rose to 56.1 last month from 55.6 in November, the National Bureau of Statistics and China Federation of Logistics and Purchasing said yesterday. A reading above 50 indicates expansion.
"While modest, the improvement is the third straight gain, which confirms continued recovery of the Chinese economy," Dariusz Kowalczyk, senior economist for Asia except Japan at Credit Agricole, said in a research note yesterday.
Meanwhile, future expectations remained level in December from a month earlier, the highest level of the second half of 2012.
The services PMI came on the heels of a solid manufacturing PMI that showed China's economy emerging from seven quarters of slowing growth.
Both the official and private manufacturing PMIs announced this week also suggested China's economy was rebounding near year's end.
The official manufacturing PMI, also offered by the statistics bureau and the federation, remained above the dividing line at 50.6 last month, the same as November. The measure, slanted toward state-owned companies, has been above 50 for the third month.
The HSBC manufacturing PMI, which favors private and export-oriented companies, hit a 19-month high in December on a boost in purchasing activities.
Economists said they are expecting the Chinese economy to pick up momentum in the future.
"The absolute levels of both December manufacturing and non-manufacturing PMIs remain relatively low by historical standards and consistent with only a modest rebound in economic activity," Kowalczyk said. "The current economic cycle may peak this quarter," he added.
Most analysts and market observers are forecasting that China's economy will be on a much smoother keel this year, providing domestic demand expands and the specter of the eurozone debt crisis begins to release its grip on other global markets.
Huang Yiping, an economist at Barclays, said they look for a moderate recovery in 2013 as the economy transitions to a "new normal" of slower growth. China's gross domestic product in the third quarter expanded 7.4 percent from a year earlier, the slowest pace in three and a half years.
Economic data show industrial production, fixed-asset investment and retail sales all growing strongly. That has encouraged bolder market forecasts of GDP growth of up to 8 percent in the fourth quarter of 2012 and 8.2 percent in the first quarter of this year.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
