Japanese services PMI shows month-on-month drop in September

The pace of growth in Japan's services sector was much slower than in August, figures have showed.

The Markit/Nikkei Japan Services Purchasing Managers Index (PMI) dropped from 53.7 in August to a seasonally adjusted reading of 51.4 last month.

The drop was a sign of a slackening in new business, which Reuters said was a sign of softer demand at the end of the third quarter.

A reading of 50 separates growth from contraction.

The decline is liking to add to recent concerns about the Japanese economy.