China: Economy loses steam in 2Q24 – UOB Group
|China’s economy grew at its slowest pace in more than a year. Analysts at UOB Group revise their GDP growth forecast for China to 4.9% for 2024 from 5.1% previously.
China’s economy growth slows down
“China’s economy grew at its slowest pace in more than a year. The 2Q24 GDP growth came in below expectation at 4.7% y/y, 0.7% q/q sa, while 1H24 growth averaged 5.0%.”
“Nominal GDP is estimated to have expanded by 4.0% y/y in 2Q24 compared to 4.2% y/y in 1Q24. Despite coming below the real GDP growth for the fifth consecutive quarter, the gap between the nominal and real growth rate has narrowed. However, weak demand will continue to keep price pressures muted.”
“The moderation in Jun’s activity indicators, particularly the retail sales continue to indicate an uneven recovery. As such, it will be challenging to maintain the growth momentum in the second half of the year. We revise down our GDP growth forecast for China to 4.9% for 2024 from 5.1% previously, with risks that growth could be slightly lower than the official target of ‘around 5%’.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.