China Services PMI Indicators Point to Margin Squeeze -- Market Talk
Dow Jones
Sep 03
0634 GMT - Price indicators in a private PMI gauge suggest squeezed margins for Chinese companies in August, Goldman Sachs economists say. The RatingDog services PMI increased to 53.0 in August, suggesting that sector activity picked up pace. The input prices sub-index meanwhile decreased to 50.2 and the output prices sub-index fell to 49.7. S&P Global mentioned that firms chose to absorb cost hikes and cut output charges instead to support sales amid intense competition, GS notes. A decline in staffing levels was attributed both to the non-replacement of job leavers and redundancies, partly due to cost concerns, it adds.(fabiana.negrinochoa@wsj.com)
(END) Dow Jones Newswires
September 03, 2025 02:34 ET (06:34 GMT)
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