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China’s Economy Posts Better-Than-Expected Growth in Jan-Feb

March 15, 2022 by Forex Winner Leave a Comment

China’s Economy

Source: National Bureau of Statistics of China

China’s economy improved in the first two months of 2022, with main indicators beating analysts’ estimates, but the surge in Omicron cases will weigh on the outlook. CSI 300 Index down -4.57%, CNY USD down -0.25%

  • Industrial output grew 7.5% in January-February from a year ago, the fastest rate since June 2021, and rose from 4.3% gains in December.
  • Retail sales, a measure of consumption that has been slowing down since COVID-19 emerged, grew 6.7% year-on-year amid surging demand during the Lunar New Year Holidays and Winter Olympic Games.
  • The retail sales also signaled the quickest surge since June last year and topped expectations of a 3.0% increase in the poll. The sales figure grew by 1.7% in December.
  • Iris Pang, Greater China chief economist at ING, stated that the strong performance of the world’s second-largest economy in the New Year might have helped China’s Central Bank to hold policy rates steady on Tuesday. 

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