Growth in China’s giant factory sector edged up to a six-month high in May but export demand shrank again, prompting companies to shed jobs and keeping alive worries about a protracted economic slowdown, a government survey showed on Monday. In a sign that China’s worst downturn in at least six years is hurting its services companies, too, a similar survey showed growth in that sector slipped to a low not seen in more than five years. Services have been one of the lone bright spots in the Chinese economy in the last year. The muted reports reinforced the view that authorities would have to roll out more stimulus in coming months, despite having cut interest rates three times in six months. “China’s economy still faces strong headwinds,” economists at ANZ Bank said in a note to clients. “If capital outflow continues at the pace of the first quarter, […]