A private survey showed growth in China's services sector has cooled in July. That goes with weaker expansions in activity and new work prompting companies to cut cost by shedding staff for first time in four months.

The Caixin Markit services purchasing managers' index fell to 51.7 in July on a seasonally adjusted basis, from an 11-month peak of 52.7 in June. Caixin's composite PMI covering both the manufacturing and services sectors rose to 51.9, its highest since 2014, reflecting the marked improvement in its manufacturing reading.

Analysts say supportive measures including proactive fiscal policies will continue to protect the recovery, while regulations in the service sector should be further relaxed.