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Tuesday, September 6, 2016

Services Purchasing Managers' Index (PMI)Hits 3-1/2 Yr High

Services sector growth touched the highest level in over three-and-a-half years, driven by new business orders amid improved market conditions, but trend in employment remained comparatively subdued, says a survey.

The Nikkei India Services Purchasing Managers' Index (PMI), which tracks changes in activity at services sector companies on a monthly basis, stood at 54.7 in August 2016, up from 51.9 in July 2016, registering an expansion in each of the past 14 months.

A reading above 50 means the sector is expanding, while a reading below that level means contraction.

With growth of manufacturing production also ticking higher, the Nikkei India Composite PMI Output Index, climbed from 52.4 in July to a 42-month high of 54.6 in August, highlighting a stronger improvement in private sector economic activity.

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