Fear Of New Wave Of Corona Overwhelms The Service Sector

Fear of new wave of Corona overwhelms the service sector, slowed down despite increasing demand: Services PMI.

A survey has shown that India’s services sector expanded for the fifth consecutive month in December but at a slower pace than the previous month (November).

Demand in the services sector picked up but with it, another wave of COVID-19 and inflationary pressures weighed on it.

The Services Purchasing Managers’ Index, prepared by IHS Markit, fell to 55.5 in December from 58.1 in November, the lowest since September.

But still above the 50-point mark that separates service sector growth from contraction. 

Pollyanna De Lima, associate director of economics at IHS Markit, said: “2121 was another tough year for service providers and growth was slightly lower in December.

Still, the new data showed stronger growth in sales and business activity than the survey trend.

Supported by the real estate and commercial services sectors, the new business sub-index was above 50 for the fifth month, though growth moderated to a three-month low.

Fear of new wave of Corona: Export business continued to decline as international sales were weighed down by travel restrictions related to the Corona pandemic.

Business confidence was at a four-month high in December on strong demand, yet a rising coronavirus infection kept it under control.

Let us tell you that once again the cases of coronavirus have started increasing in the country, which is pointing towards its third wave.

De Lima said, “Uncertainty around the outlook, and a general lack of pressure on capacity, led to a renewed decline in employment during December.

The decline was modest and is expected to improve this year, with demand for services remaining favorable.” needed.”

The stock market opened rapidly on the third day, in 2022 the wealth of investors increased by more than 5 lakh crores

The stock market started fast in the open session on Wednesday. On Wednesday, Sensex opened at 59,921 points above the previous closing level.

On the other hand, Nifty 50 started at 17,820 points above the previous closing level. Investors’ enthusiasm in the domestic stock market is in full swing due to continuous growth in 2022.

Investors’ wealth has increased by Rs 5.36 lakh crore in the stock markets in two trading sessions. All-round buying amid a firm global trend has strengthened the market.