The NBS said that China’s industrial output grew 6.2 percent in the first three quarters (though this figure also slowed to 5.7 percent in September). The growth rate of China has been forecasted to be between 6.5 and 7 by the private sectors, which is second to that of India, with a growth rate expected to be 7.5% by worldwide Monetary Fund (IME).
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China’s growth slowdown has sent prices of commodities ranging from oil to copper to multiyear lows, and led the U.S. Federal Reserve to delay a widely expected increase in borrowing costs.
China’s total GDP for the first three quarters was 48.78 trillion yuan ($7.68 trillion), according to the country’s National Bureau of Statistics (NBS).
That’s happening now. Beijing’s growth target for the year is 7 percent – a goal that was met in the first six months. Growth in retail sales picked up from 10.5 per cent in July to 10.9 per cent in September.
China’s economic growth slowed to 6.9 percent in the third quarter, marking the weakest quarterly expansion since the first quarter of 2009, official data showed Monday.
“All this indicates the restructuring and upgrading of the Chinese economy are going steadily”.
The world’s second-largest economy has been struggling with falling exports amid weaker global demand and a lackluster property market at home.
Chinese leaders have been trying to reassure jittery global markets for months that the economy is under control after a shock devaluation of the yuan and a summer stock market plunge fanned fears of a hard landing.
“There isn’t too much economic data being released this week, which will put more of an emphasis on corporate earnings season which got properly underway last week”, said Craig Erlam, senior market analyst at Oanda. Other Asian markets were mixed after trimming losses.
“China’s economic growth still moved within a reasonable range, in line with the government target”, Sheng said.
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We’re reluctant to take away any broader directional implications for Treasuries from the Chinese data, other than simply the passing of a risk-event that might have pointed to a more troubling outlook for economic growth from the region. The government has cut interest rates five times since November, relaxed lending restrictions and brought forward infrastructure spending as it manages a broad industrial slowdown and attempts to engineer a transition to an economy more reliant on domestic consumption than fixed asset investment and exports. The Chinese government has already employed measures such as cutting interest rates to encourage more borrowing.
