China's economy contracted sharply in the second quarter while annual growth also slowed significantly, highlighting the colossal toll on activity from widespread COVID lockdowns, which jolted industrial production and consumer spending.
"The disruption from COVID-19 on domestic economic activities was more pronounced this year. So, the quarter-on-quarter contraction in Q2 was well expected. Now that the pandemic is largely under control, economic activities are expected to gradually return to normal."
"In the absence of policy rate cuts, the PBOC is likely to increase the use of re-lending facilities and deposit rate reforms to influence future credit growth and corporate borrowing costs." "The PBOC, in my view, is playing a coordinating and supporting role to fiscal easing, so there is still room for easing both in terms of liquidity injection and rate cuts but it's likely to be moderate.""The underlying June numbers show a fairly good recovery. The retail recovery is fast, compared with early part of 2020, when they took more than six months to go back to an expansion rate.
"A toleration or encouragement of a weaker yuan is still something we expect in the second half of the year. Part of the reason is that China is losing competitiveness because of the weakness we're seeing in the Korean won and the Japanese yen, for example." "Due to the low base effect, data from the next two quarters are likely to show signs of improvement. And I expect that the two-year average GDP in H2 could be around 5.5%.""Infrastructure spending has led the growth and it will be a main driver of the Chinese economy ahead. There may be a talk of pent-up demand but you cannot count on private consumption to recover strongly given that household savings remain high.
Österreich Neuesten Nachrichten, Österreich Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
China GDP data to show sharp slowdown in Q2, tepid recovery in JuneChina is expected to report a sharp slowdown in economic growth in the second quarter after widespread COVID lockdowns jolted factories and consumers, although activity in June may have perked up.
Weiterlesen »
AUD/JPY approaches weekly highs at 94.30 after a mix China’s economic dataThe AUD/JPY pair has refreshed its intraday high at 94.00 after the release of the mixed Chinese economic data. The Chinese economy is facing the head
Weiterlesen »
What’s in Your Bear Market Backpack?The market slump has earned mixed reactions across the Ethereum community. skesslr and cryptauxmargaux report.
Weiterlesen »
Terence Blanchard on Composing Music for a Documentary About One of His ‘Heroes’ & Other 2022 Emmy Nominee ReactionsSiddhartha Khosla received three nominations across the seven music categories.
Weiterlesen »
Cruz Pedregon to NHRA Teams Worried about Inflation: 'If You Can't Afford to Race, Stay Home'Funny Car team boss says he came into 2022 prepared for economic challenges.
Weiterlesen »
Sydney Sweeney’s Reaction to Her Double Emmy Nomination Was Incredibly WholesomeSydney Sweeney's reaction to her double EmmyAwards nomination was incredibly wholesome
Weiterlesen »