BEIJING, July 31 Reuters China39;s manufacturing activity fell for a fourth straight month in July while the services and construction sectors teetered on the brink of contraction, official surveys showed on Monday, threatening growth prospects for the third quarter.

Construction sector activity for July was its weakest since COVID19related workplace disruptions dissipated around February, data from the National Bureau of Statistics showed.

The world39;s secondlargest economy grew at a slow pace in the second quarter, as demand remained weak at home and abroad, leading the Politburo a top decisionmaking body of the ruling Communist Party to describe economic recovery as tortuous.

The official manufacturing purchasing managers39; index PMI inched up to 49.3 in July from 49.0 in June, staying below the 50point mark that separates expansion from contraction.

The last time that indicator pointed to contraction for more than three consecutive months was between May and October 2019, before the pandemic, suggesting that negative sentiment among factory managers had become especially persistent.

The nonmanufacturing PMI, which incorporates subindexes for service sector activity and construction, dropped to 51.5 from June39;s 53.2. The subindex for construction, a large employer amid a broader unemployment crisis, fell from a high of 65.6 in March to 51.2 this month.

The sharp fall in construction activity is a worrying sign of a potential death spiral in the property…