The Purchasing Managers' Index (PMI) for China's non-manufacturing sector in October dropped to 60.5 percent, the China Federation of Logistics and Purchasing (CFLP) said Wednesday.

The figure was 1.2 percentage points lower than in September, the first decline since July, the CFLP said in a statement on its website.

The non-manufacturing PMI is a package of indices that measure the non-manufacturing sector's performance.

A reading above 50 percent indicates economic expansion while one below 50 percent indicates economic contraction. It was the eighth straight month the reading was above 50 percent.

The new orders index dropped 0.6 percentage points month on month to 56.3 percent.

A decline in commercial activity in the construction and real estate sector caused the index drop to slow down, the statement said, attributing it to seasonal factors and the government's recent property market cooling measures.

Deputy Chairman of the CFLP Cai Jin noted that the index has stayed above 60 percent for four consecutive months, reflecting the steady performance of the service sector.

Cai said the continuous rise in input prices will put further pressure on prices in the service sector, adding that the government should closely monitor the market and take measures when necessary.