China, GDP slows but still less than expected: + 6.9% in the third quarter – The Republic

Milan – Slow down, but less than expected, the economic growth of China, which in the third quarter of 2015 fell to 6.9%, the lowest since 2009. The data, disclosed by the Central Bureau of Statistics in Beijing, indicating that China may not reach its target of a 7% growth for 2015. The markets reacted without major shocks in this detection , which on one hand confirms the weakness of the economic situation in the Asian giant, but it has also positive signs: the dynamics of the service sector and consumption is robust and shows that the stimuli used by the government to date have had some effect.

The average of the first three quarters of this year is 6.96%, and economists believe that the difficult situation will change substantially in the fourth quarter. Many observers believe that the government, which has already lowered interest rates five times since last November, will take new expansionary measures in the coming months. To find growth of the Chinese economy so low we must go back to the first quarter of 2009, when it was felt the impact of the global financial crisis.

The greatest weakness is in the manufacturing sector, and is witnessed by the trend Industrial production recorded an annual growth of 5.7% in September, below estimates (+ 5.9%). In August, the growth was 6.1%. Other data released today is retail sales rising to 10.9% in September while the average of analysts’ estimates indicated a +10.8%.

According to Louis Buijs of Oxford Economics, the slowdown It is less pronounced than could be expected. “The continued downward pressure on the housing market and in exports has caused the collapse of the GDP, but consumption and infrastructure are robust and prevented a decrease stronger,” he said.

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