China's market: What to expect in the coming months, according to abrdn.
Robert Gilhooley, Senior Emerging Markets Economist, analyzes the economic situation in China, concluding that the outlook is not as bleak as it is often portrayed.
Get alerts with the latest news, our articles and more!
Every day brings negative news about the Chinese economy, feeding a long list of related worries, including deflation, real estate pressure, declining exports, consumer resistance to spending, high youth unemployment, problems with shadow banking, the financial health of local governments, geopolitical tensions and insufficient policy support.
But some indicators, such as passenger traffic data in''metro areas, continue to indicate that some areas of consumption and services are beginning to recover, which may be consistent with so-called "revenge" after three years of pandemic restrictions.
There's too much eco-economy, but consumption obsolete.
This is what Robert Gilhooley, senior emerging markets economist at abrdn, says when looking for an answer to the question of whether pessimism about China has peaked. Consumers are generally cautious, families are saving, and spending what has been set aside since 2020 seems too risky a decision, so there is a risk that China's savings rate has risen permanently.
This story was prepared by FinanciaLounge.com.
Tags
Comment
Popular Posts
Popular Offers
Subscribe to the newsletter from Hatamatata.ru!
Subscribe to the newsletter from Hatamatata.ru!
I agree to the processing of personal data and confidentiality rules of Hatamatata