August 18, 2024
China’s retail sales rose by 2.7% in July over the year. At the same time monthly figures (published before) showed retail sales dropped by 0.12% in June and 3-month moving average has been creeping close to zero since November 2023 (see chart).
Yearly figures is quite a bright spot amid the rest of today’s data as it shows consumers are not yet completely out of the play. The indicator has been showing feeble results from November 2023 when it had peaked at 10.1% and then started steadily sliding to 2% in June. Weak consumer demand is major concern for police-makers as it is driving the whole economy down aftermath property crisis. A bunch of stimulus have been introduced in the last two years but still with no great effect.
⭐️Summary:
Pickup in retail sales is a positive sign giving hope for a start of reviving from ashes in coming months.