The spokesperson of China’s statistics bureau is out saying that July economic activity was affected by external uncertainties and also extreme weather conditions, among other factors, amid the poor report here.
Adding that Beijing will step up counter-cyclical policy adjustments and expand domestic demand as part of efforts to bolster economic activity.
It is interesting that they put the timing of the release to right after the market close but then leave it to the statistics bureau to offer up commentary on making effort to improve domestic demand. Typically, you’d see the economy and/or commerce ministry do that. And the timing of the daily briefings do line up, but yeah.
In any case, China will continue to try and talk the talk in bolstering domestic demand conditions but things don’t look bright to start the third quarter of the year. And that follows from the already markedly weakening economic growth seen in the second quarter already.
The credit data from last week just piles on top of the one today: China new bank loans contract again in July, the second time this year
This article was written by Justin Low at investinglive.com.