China: GDP growth slowed to 6.5% in Q3 – Standard Chartered
Analysts at Standard Chartered note that China’s economic growth slowed to 6.5% y/y in Q3 from 6.7% in H1, falling short of market expectations of 6.6%.
Key Quotes
“On a q/q basis, growth moderated to 1.6% in Q3 from 1.8% in Q2 (seasonally adjusted). Market confidence has fallen much more rapidly than growth performance.”
“Amid rising trade tensions with the US, stabilising economic growth has replaced deleveraging as the government’s top near-term priority.”
“We see this policy shift as a clear signal that the government is committed to achieving its 6.5% growth target for 2018. We maintain our forecast that GDP will grow 6.4% in Q4; this would take full-year growth to 6.6%, slower than 6.9% in 2017. In the short term, we think downside risks to China’s economy remain largely contained, as the government still has room to shore up growth via increased economic stimulus.”
Author
Sandeep Kanihama
FXStreet Contributor
Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.
