The Caixin China Composite PMI data (which covers both manufacturing and services) showed a further rise in overall Chinese business activity during December. Furthermore, the rate of expansion picked up from November, with the Composite Output Index rising from 51.9 to a five-month high of 52.2.

The improved headline index reading was supported by higher activity levels across both the manufacturing and service sectors. Services companies registered a solid rate of activity growth, while manufacturing output expanded slightly after two months of stagnation. The solid upturn in services activity was shown by the seasonally adjusted Caixin China General Services Business Activity Index edging up from 53.8 in November to a six-month high of 53.9 at the end of 2018.