India's services activity expanded at its fastest pace in four months in October, supported by stronger domestic demand. According to Sina Finance, HSBC's services PMI rose to 55.8 from 55.2 in September, below the preliminary estimate of 56.2; readings above 50 indicate expansion.
New business grew at its fastest pace since June, mainly on strong domestic orders, while export new business growth was the weakest in 45 months amid subdued international demand. Employment growth nearly stalled, with hiring growth matching June's pace, the lowest in 10 months.
Inflation pressures eased: increases in prices charged to customers were the smallest in four months, and input cost inflation fell to a more than six-year low. Firms continued to report higher electricity, labor, raw material, and transportation costs.
Business confidence declined from September and remained below its long-term average, indicating cautious optimism about the growth outlook. The composite PMI, covering manufacturing and services, rose to 56.2 from 55.9 in September, its highest level in four months.