On Wednesday, an official factory survey revealed that China’s non-manufacturing activity grew at a slower pace in July. This deceleration underscores the weakening domestic demand for services and highlights the ongoing challenges posed by the prolonged property sector crisis.

The official non-manufacturing purchasing managers’ index (PMI), which encompasses both services and construction, dipped to 50.2 in July from 50.5 in June, as reported by the National Bureau of Statistics (NBS). The 50-point threshold indicates the boundary between expansion and contraction on a monthly basis.

Additionally, the NBS composite PMI, which aggregates manufacturing and services data, was reported at 50.2 in June.