China's non-manufacturing sector expanded in January as higher retail spending ahead of the Spring Festival lifted overall business activity, a survey by the China Federation of Logistics and Purchasing (CFLP) and the National Bureau of Statistics revealed Sunday.
The purchasing managers' index, that measures the performance of the non-manufacturing sector, rose to 56.2 in January from 56.1 in December.
A reading above 50 indicates expansion of the sector. The January reading marks fourth consecutive month of increase in the index.
The new orders index pulled back slightly during the month. The index fell to 53.7 in January from 54.3 in December. Orders for civil engineering construction reached a new high during the month, suggesting that infrastructure investment will continue to grow, the survey report said.
Meanwhile, the new export orders index rose to 52.6 from 52.5 in the previous month. Input costs increased significantly with the corresponding index rising to 58.2 from 53.8 in the previous month.
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