As the global economy continues to face challenges amidst the ongoing COVID-19 pandemic, there are some bright spots in the world of finance. Today, Asia markets are rising as a private survey shows a sharp recovery in China’s services sector. This is welcome news for those who were worried about the economic impact of the outbreak, as Chinese factory activity, for example, has already shown signs of rebounding.
The survey, from financial data firm Caixin, is an important indicator of business activity in China. It showed that the country’s services sector expanded at the fastest pace in over 10 years in February, with the sector’s Purchasing Managers’ Index (PMI) coming in at 51.5. This is up from a reading of 50.6 in January, and economists had been expecting a reading of 51.3.
As a result of the positive news, Asia stocks are following Wall Street up on hopes that interest rates will remain low. The future of interest rates has been a major concern for investors in recent months, with many expecting rates to rise as the global economy begins to recover from the pandemic.
Other news in the world of finance today includes updates on the Dow and S&P. Both indexes are expected to continue trading in positive territory, with many analysts citing a strong earnings season as driving the gains.
Overall, it seems that the markets are feeling optimistic today, with Asian stocks rising and oil prices heading for a weekly gain. While there are still challenges ahead, it’s good to see some positive economic news and some signs of recovery in key sectors like services.