The latest readings of a series of Chinese economic data published in the previous Asian session have added further evidence that the country’s economy is slowing down.
The main focus of the market, China's retail sales fell short of expectations with an increase of only 3.9% in November from 4.6%. This reading is also seen to be down from the previously recorded figure of 4.9%.
According to the National Bureau of Statistics (NBS), the decline comes amid a steady drop in car sales over the past few months, despite the annual ‘Single’s Day’ or 11.11 sales event in early November.
Meanwhile, investors were also seen with industrial output data rising 3.8% from 3.5% in October and exceeding the 3.7% forecast by the market.
Growth in fixed asset investment declined to 5.2% from 6.1% previously recorded. Real estate investment increased by 6% over the same period, down from 7.2% previously.
Figures shown from the latest data highlight the pressure on the economy from the real estate sector and the challenges the Chinese government faces in stabilizing the world’s second-largest economy.
The latest outbreak of Covid-19 has slightly hampered China’s economic activity following the government’s ‘zero Covid’ policy.
