China Services Growth at 3-Month Peak

China’s official NBS Non-Manufacturing PMI stood at 50.5 in June 2025, above market consensus and May’s figure of 50.3. It was the highest reading since March, supported by a trade truce with the U.S. and Beijing’s ongoing efforts to boost domestic demand and curb deflationary pressures. Both new orders (46.6 vs 46.1 in May) and foreign sales (49.8 vs 48.0) contracted at a softer pace. At the same time, employment remained subdued, with the figure holding steady for the third month in a row (at 45). Meanwhile, supplier delivery times were largely unchanged (51.2 vs 51.1). On the cost front, input prices nearly stabilized after four straight months of declines (49.9 vs 48.2). Meanwhile, a drop in selling prices eased (48.8 vs 47.3), suggesting some relief on margins. Lastly, business confidence remained in positive territory, though it slipped to a nine-month low (55.6 vs 55.9).