China’s Retail Sales Jumps 12.4% to Miss Estimates as Uneven Recovery Continues

Source: National Bureau of Statistics of China

China’s retail sales jumped by 12.4% in May to miss the expected rise of 13.6%. Other economic indicators also missed expectations to underscore lower consumer spending amid robust economic recovery. CSI 300 sheds -1.67%, USDCNY is down -0.13%

• In April, China’s retail sales also rose at a lower than expected 17.7% level as consumer spending continues to lag economic recovery.
• Industrial production in May gained 8.8% from the comparable month of 2020, missing expectations of 9%.
• Fixed asset investment in the five months of 2021 climbed by 15.4% from a year earlier, although this was below expected 16.9%.
• “New” situations in China and beyond has been blamed for below-estimate economic performance indicators.
• Analysts now read uneven recovery in China, despite the unemployment rate in cities edging lower to 5% last month.