China service sector slows

In a sign that growth in China continues to moderate, HSBC's services PMI for China came in at its lowest level since August of 2011. Analysts say seasonal factors and slower factory activities are likely culprits.

The survey showed last month's services PMI dropped to 50.7. That means the services sector is still expanding, but at a slower rate as new business growth fell to a seven-month low and service providers discounted the most in January since June of 2012.

Experts say government measures to curb extravagance also played a role in the dip as the index slid for a third straight month. Analysts say improvement depends on stronger manufacturing growth and government efforts to expand the services sector through reforms.