21 Jan 2014
Flash: Growth in China on a downtrend - Nomura
FXstreet.com (Bali) - China's Q4 GPP data confirms growth slowdown, that is the conclusion drawn by the Economics Team at Nomura.
Key Quotes
"China's real GDP growth moderated to 7.7% y-o-y in Q4 2013 from 7.8% in Q3, slightly higher than the market and our expectations of 7.6%."
"Monthly data suggest weaker growth momentum in December, with industrial production and fixed asset investment slowing more than the market expected."
"The data reinforce our view that growth is on a downtrend. We continue to expect GDP growth to slow to 7.5% in Q1 2014 and to 7.1% in Q2."
"We believe the government will have to loosen monetary policy by mid-2014 if it is to achieve its reported 7.5% growth target."
Key Quotes
"China's real GDP growth moderated to 7.7% y-o-y in Q4 2013 from 7.8% in Q3, slightly higher than the market and our expectations of 7.6%."
"Monthly data suggest weaker growth momentum in December, with industrial production and fixed asset investment slowing more than the market expected."
"The data reinforce our view that growth is on a downtrend. We continue to expect GDP growth to slow to 7.5% in Q1 2014 and to 7.1% in Q2."
"We believe the government will have to loosen monetary policy by mid-2014 if it is to achieve its reported 7.5% growth target."