Data hints that growth in China may be starting to stabilize- Wells Fargo

By FXStreet FXStreet (Córdoba) – According to analysts from Wells Fargo, recent released data hint that growth in China may be starting to stabilize.

Key Quotes:

“As is widely known, economic growth in China has slowed over the past few years. The big question that most observers have is whether the Chinese economy will achieve some sort of “soft landing” or whether “touchdown” will be more painful, not only for China but for the global economy as well.”

“Although it is still too early to say for certain, some recently released data hint that growth in China may be starting to stabilize. For starters, the year-over-year growth rate of industrial production (IP) rose from 5.6 percent in October to 6.2 percent in November. Although the three-month moving average, which smooths out some of the inherent volatility in Chinese IP growth data, remains below 6 percent, the outturn was one of the few in recent memory that came out stronger than expected. In addition, retail spending accelerated from a year-over-year growth rate of 11.0 percent in October to 11.2 percent in November. With consumer price inflation only 1.5 percent last month, the robust nominal spending figure noted above translates into strong growth in …read more

Source:: FX Street