The private sector in Hong Kong experienced a notable expansion in October, as reported by the latest S&P Global survey released on Tuesday. The Purchasing Managers' Index (PMI) reached 52.2, surpassing the neutral 50.0 mark that distinguishes growth from contraction.
A key factor in this positive shift in business conditions was an increase in demand. New orders grew at their most rapid rate in eighteen months, a trend often linked by survey participants to the stimulus measures in Mainland China and a rise in tourism activities.
Furthermore, new business from Mainland China and international markets showed a positive return to growth, reversing the decline observed at the close of the third quarter. Detailed subsector analysis indicated that the service firms experienced the most significant growth in new business.
