FXstreet.com (Barcelona) - Chinese GDP was released today showing that the economy has expanded by +7.6% YoY in the month of June quarter, down from +8.1% in the March quarter, and approaching the lows recorded during the GFC. “This outcome is very close to our forecast of 7.5 per cent, and was slightly lower than the market expectation of 7.7 per cent, however markets have not reacted negatively.” Writes James Glenn, an analyst at NAB.
The NBS calculated quarterly growth rate was +1.8% (equal to the pace seen in the March quarter). Data for the June quarter confirms that China’s economic growth has slowed noticeably from the rapid pace of 2010/11, albeit at a relatively controlled pace. “Nevertheless, drags on the economy from external demand and the real estate sector will continue to weigh on growth and could prompt authorities to adopt further stimulus measures, so long as inflationary pressures remain under control.” he adds.
In the aftermath of the data release, Asian markets seemed poised for modest advances and several commodity-based currencies such as the NZD and AUD were seen trading positively during the Asian session.
The NBS calculated quarterly growth rate was +1.8% (equal to the pace seen in the March quarter). Data for the June quarter confirms that China’s economic growth has slowed noticeably from the rapid pace of 2010/11, albeit at a relatively controlled pace. “Nevertheless, drags on the economy from external demand and the real estate sector will continue to weigh on growth and could prompt authorities to adopt further stimulus measures, so long as inflationary pressures remain under control.” he adds.
In the aftermath of the data release, Asian markets seemed poised for modest advances and several commodity-based currencies such as the NZD and AUD were seen trading positively during the Asian session.
