Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

China’s Industrial Output and Retail Sales Record Surprise Growth

Economic IndicatorsNov 15, 2021 13:00
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Gina Lee

Investing.com – China’s industrial output grew surprisingly faster in October, despite the latest wave of COVID-19 cases in the country and supply shortages.

Data from the National Bureau of Statistics (NBS), released earlier in the day, showed that industrial production grew 3.5% year-on-year. Forecasts prepared by Investing.com predicted a 3% growth while a 3.1% growth was recorded in September.

Retail sales also picked up, with a growth rate of 4.9%, higher than forecasts prepared by Investing.com predicting a 3.5% growth. A 4.4% growth was recorded in September.

The unemployment rate was unchanged at 4.9%.

However, fixed asset investment grew 6.1% year-on-year in October, slower than the 7.3% growth recorded in September as well as forecasts prepared by Investing.com predicting a 6.2% growth.

China’s manufacturing sector has slowed down in 2021 due to power shortages and higher raw material prices. But October saw a rebound as power shortages, a key constraint on industrial output in September, eased, with power supply climbing 11.1% in October from a year earlier, according to Bloomberg.

“The national economy was generally stable and maintained the trend of recovery,” the NBS said in a statement. “However, we must be aware that the international environment is still complicated and severe with many unstable and uncertain factors.”

Retail sales benefited from pre-sales ahead of the Single’s Day shopping festival, also, the National Holiday in October drove the catering and accommodation sales, NBS spokesman Fu Linghui said at a briefing.

Meanwhile, concerns about China’s property market remained, as property giants China Evergrande Group and Kaisa Group continue to steer towards looming defaults.

The government is expected to maintain curbs, which might lead to weaker growth into 2022, and GDP growth is also expected to slow down. GDP growth is expected to slow to 3.5% in the fourth quarter of 2021, hit 8% for 2021, and weaken to 5.4% in 2022, according to a Bloomberg survey.

“Growth will likely weaken in the rest of this year,” said Zhang Zhiwei, chief economist at Pinpoint Asset Management Ltd. “The slowdown in the property sector continued, which is the key risk for the macro-outlook in the next few quarters.”

China’s Industrial Output and Retail Sales Record Surprise Growth
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email