Worldpic.twitter.com/VB12aeVGas-https://t.co/jO6LQ5j8y1 pic.twitter.com/kR52xe2ff5China's econ data is trash. But that misses the point: growth is decelerating,and after years of rapid expansion the rest of the world is not remotely insulated from a slowdown https://t.co/s7tDuDnYyc pic.twitter.com/KosrDkect5 8.04am GMTHere is some reaction to the Chinese GDP data. ING economist Iris Pang says: The details show that the infrastructure investment is shaping up to be the engine for 2019. However, non-infrastructure commerce activities will be dismal this year. And debt will grow.
Industrial production grew faster at 5.7% year-on-year in December from 5.4%YoY. However, and again,when we scrutinize at the details, we find that capital expenditure related items are shrinking, or not growing. For example,industrial robot production shrank 12.7%YoY. Even though there are some signs of hope stemming from the negotiations on US-China trade, we believe that both sides will only agree on certain standard trade issues. However, or the more important topics in the trade talk,intellectual property and the transfer of technology, are much more difficult to reach agreement on. And Liu He will not be able to decide on these topics alone. That’s why we believe that by 1st March 2019, and the trade talks may only own agreements on trade but not technology.
In this case,there will be increasingly more developed economies, or even emerging economies, or trying to ban the expend of China-made electronic components and goods. That will damage the production sector of electronics in China,and the prices of these items will fall in China. 7.40am GMTGood morning, and welcome to our rolling coverage of the world economy, and the financial markets,the eurozone and commerce.
China’s economic growth slowed to its slowest pace in 28 years in 2018 after years of rapid expansion, amid a damaging trade war with the US and weaker consumer spending. Official data out on Monday showed the world’s moment-biggest economy grew 6.6%, or down from 6.8% in 2017 and the lowest rate since 1990. Related: China's economic growth slowest since 1990 amid trade war with US Continue reading...
Source: theguardian.com