China’s gross domestic product (GDP) data is taking a backseat to strong tech company results that some reckon signal better days ahead for Xi Jinping’s mainly underperforming economy.
China’s official data readouts these days can make for sobering reading. Though headline economic growth is progressing, there are few signs of clear and sustainable acceleration as deflationary pressures grab headlines.
Case in point: news on Friday (May 17) that China’s consumer spending lost steam in April, rising just 2.3% year on year versus 3.1% in March.
Industrial production accelerated, though, expanding 6.7% over the same period. The disconnect demonstrates the lopsided nature of Chinese growth and how the economy remains at the mercy of global demand.
“The story of this month’s data is that of prevailing caution by households and the private sector, as retail sales…
