Indias services and manufacturing sector expanded in November for the first time in two months as new business accelerated despite persistent inflationary pressures. The manufacturing and services sector index,as measured by HSBC India Composite Index,rose sharply to a three-month high in November to 52.3,from 50.3 in the previous month,even though the private sector output rose only modestly. As per HSBC Purchasing Managers Index (PMI),the seasonally adjusted HSBC Markit Business Activity Index based on a survey of around 400 firms stood at 53.2 in November,above the 50-mark that separates growth from contraction. It had fallen to 49.1 in October after contracting for the first time in more than two years in September to 49.8. New business received by private sector companies rose for a 31st month in row in November,making it the fastest pace of growth since August,but remained well below the series average. The report notes that a stronger expansion in new orders received by the service providers offset a weaker rise in the manufacturing sector. New business received rose for a 31st month in row in November,making it the fastest pace of growth since August.
