Business activities in Hong Kong’s private sector contracted at a slower pace in August, according to the latest PMI data from S&P Global.
The headline seasonally adjusted S&P Global Hong Kong Purchasing Manager’s Index (PMI) rose to 49.8 in August from 49.4 in the previous month, indicating continued contraction in private sector conditions, though shrinking at a slower pace.
Market demand weakened amid economic slowdown, sending new orders sliding for the 2nd straight months, and new business from mainland China returned to declines, which contributed to the loss in new orders, though exports grew slightly, according to the report.
As new orders decrease, companies’ production declined slightly and scaled back employment. There were signs of easing cost pressure, but the level of business confidence reached its weakest level since January 2021, it said.
