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Covid-19 resurgence pushes service sector into contraction: IHS Markit ANI | Updated: Jun 03, 2021 12:19 IST
Firms became increasingly worried about growth prospects with positive sentiment slipping to a nine-month low. Jobs were shed to the greatest extent since last October.
Cost inflationary pressures cooled but remained sharp by historical standards with the latest rise, the slowest since January. Selling prices meanwhile increased only slightly as several companies left their fees unchanged due to subdued demand conditions.
At 46.4 in May, down from 54 in April, the seasonally adjusted India Services Business Activity Index was in contraction territory for the first time in eight months.
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