| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Follow Finfacts on Twitter

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Global Economy Last Updated: Aug 5, 2011 - 8:11 AM

Growth in global services accelerates to four-month high in July but order inflows slow
By Finfacts Team
Aug 4, 2011 - 4:41 AM

Email this article
 Printer friendly page
Source: Markit

July saw the rate of expansion of the global services sector improve to a four-month high. The underlying trend in growth remained fragile, however, as the acceleration partly reflected a marked depletion of outstanding business. Inflows of new orders and employment continued to rise, but at slower rates than in June.

The JPMorgan Global Services Business Activity Index rose to 53.1, up from 52.2 in June, and has now remained above the neutral 50.0 mark throughout the past two years. Although faster than in the previous month, the rate of expansion was below the average for the current sequence of increase.

Growth of US non-manufacturing activity accelerated to a four-month high. Faster rates of expansion were also seen in the UK, India, Russia, Brazil and Hong Kong. Activity continued to rise in the Eurozone and China, but at a slower pace than in June.

Within the Eurozone, growth eased in the big-two nations of Germany and France, while Spain and Italy both reported lower levels of activity. Activity in Japan's service sector declined again, while the Australian service sector fell back into contraction territory after two months of growth.

Incoming new business has also risen throughout the past two years. However, July saw the rate of increase slip to the weakest since April and stay below its long-run average for the fourth month in a row. New business increased in all nations except, Italy, Spain, Japan and Australia. Growth of new work accelerated in the UK, India, Brazil and Russia. Hong Kong also reported an increase, following a slight decline in the previous month.

With growth of new work slowing further in July, service providers largely achieved the accelerated increase in activity through steeper reductions in outstanding business. Backlogs of work subsequently fell for the second month running and to the greatest extent since August 2009.

July saw service sector employment increase for the thirteenth month in a row. However, the rate of jobs growth was only modest and below the average for this period. The US, Germany, France, China, Russia, Brazil, Hong Kong and Australia all saw employment increase. However, jobs growth only accelerated in France and Brazil.

Upward cost pressures continued ease in July. The rate of input price inflation slowed further from February's near two-and-a half year peak to the least marked since July 2010. This reflected recent falls in the cost of a number of commodities.

The Global Report on Services is based on the results of surveys covering around 3,500 executives carried out in the USA by ISM, and in Japan, China, the UK, Germany, France, Spain, Italy, Brazil, India, Russia, Ireland and Hong Kong by Markit, in Australia by AiG, New Zealand by Business NZ and Mexico by HSBC. These countries together account for an estimated 80% of global service sector output.

Related Articles
Related Articles

© Copyright 2011 by Finfacts.com

Top of Page

Global Economy
Latest Headlines
Strong Swiss franc gloom deepens for exporters
Global investors shift focus to China; EM outflows surge to $1tn in 13 months
Global oil glut will continue into 2016
Stable growth momentum in OECD area but slowing expected in China
Prices for major food commodities in July lowest since September 2009
Global manufacturing in July weakest level in two years
US, China and UK lead top 25 target countries for foreign direct investment
Budget surpluses rare in developed countries from 1980s; Italy, France, Greece had none in 60 and 40 years
Singapore, London and Shanghai top cities for new FDI projects in 2014; Dublin in 11th place
Exchange rates shuffle as Dublin ranked 49th most expensive city; Paris at 46; Berlin at 105
Western consumer groups under pressure in China and India
Developing countries facing “structural slowdown” likely to last for years
OECD BEPS Tax Project: Amazon books UK sales in UK; Australia proposes up to 100% in penalties
Emerging Markets Index falls to 12-month low in May as manufacturing contracts
US and world economies slowing in 2015 — OECD
Global manufacturing production rose slightly in May; Trade flows weak
GDP growth in OECD area slowed to 0.3% in the first quarter of 2015
Only one quarter of workers worldwide have stable employment contracts
Automatic Exchange of Tax Information: OECD says countries won't be able to game system
Gates Foundation loses in Swiss family's shares coup
Minimum wage levels in OECD countries
Brent oil benchmark over $68 a barrel - up almost 50% in 2015
Global growth slows and manufacturing dips to 21-month low
Family-controlled firms dominate European business
Top 10 of world’s 250 largest consumer products companies account for 30% of sales
Nine of world's 20 fastest growing economies in Africa
Globalisation maybe stalling as trade growth remains weak
Global growth prospects uneven across major economies says IMF
Emerging markets growth lowest since 2009; Global growth at 30-year average
China's economic rebalancing hitting Latin American economies
New York, London, HK & Singapore top global financial centres index; Dublin recovers
Global growth in modest expansion from low oil prices/ monetary easing says OECD
Composite leading indicators point to positive change in growth momentum in the Eurozone
Global labour market trends portend paradise for some but uncertainty for many workers
Vienna remains top of World Quality of Living Rankings in 2015; Dublin at 34
Zurich and Geneva overtake Singapore to become world's most expensive cities
HSBC Switzerland and Falciani: How it happened
Global economic power to continue shift from advanced economies
Global food price index falls in January; Cereal output set for record
Global debt has risen $57tn or 17% of world GDP since 2007