INSUBCONTINENT EXCLUSIVE:
Country's dominant services sector rebounded last month, providing some cautious optimism the economy may be turning the corner.The IHS
Markit India Services Purchasing Managers' Index rose to a four-month high of 52.7 in November, the first time in three months that the
reading has been above 50 to mark an expansion in output
The improvement was driven by driven by higher orders and strengthening business confidence
The index is still below its long-run average of 54.2."Although the services economy shrugged off some of the weakness seen in September and
October, the latest PMI results continue to sound a note of caution regarding demand and the underlying state of the sector," said Pollyanna
de Lima, a principal economist at IHS Markit.The rise in the services index followed data earlier this week showing manufacturing also
improved in November, resulting in the composite PMI index jumping to 52.7 from 49.6.What Bloomberg's Economists SayThe improved PMI data
for November strengthens our view that the worst might be over for the economy and a shallow recovery lies ahead
Recent efforts by the RBI and the government are beginning to now show results and economic activity should pick further momentum over the
next few months.Abhishek Gupta, India economistThe latest surveys offer a glimmer of hope for the economy after data last week showed growth
While services growth weakened last quarter, industries like finance and real estate, and trade, transport and communication posted solid
cycle, with the economy's fundamentals remaining strong.
