ADB cuts China’s 2020 GDP forecast to 2.3%

Dhwani Mehta FXStreet

In its latest growth outlook, the Asian Development Bank (ADB) on Friday, lowered its 2020 GDP growth forecast for China.

Key quotes

ADB slashes China’s 2020 GDP forecast to 2.3% vs. 5.2% previous estimate.

Sees China much lower this year.

China’s 2021 growth forecast seen unchanged at 7.3%.

Market reaction

The AUD/USD pair paid little attention to the Chinese growth downgrade, as markets are fully aware of the economic impact of the coronavirus outbreak on the global growth prospects, including China’s.

The spot is heading back towards the daily highs of 0.6068 after the Chinese Caixin Services PMI rebounded to 43.0 in March.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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