China: Mixed data hints further PBOC easing

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Nov 11, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Oct 7, 2015
    Likes Received:
    FXStreet (Bali) - Chinese Retail Sales in October (YoY) came at 11% vs 10.9% exp (10.9% prev), Industrial Production saw +5.6% YoY vs 5.8% expected (prev 5.7%), while urban investment stood at 10.2%, in line with expectations.

    The data should be perceived as mixed to negative, given the additional decrease in industrial production, a leading indicator as a measure of output of the industrial sector of the economy. Retail sales, while it picked up to 11% in Oct from a year earlier, it is seen as not as relevant.

    With deflationary pressures during the month of October mounting (data released yesterday) and throwing into the mix weakening trade numbers, both imports and exports, the Chinese Central Bank (PBOC) remains a leading candidate to ease monetary policy further in the foreseeable future.
    For more information, read our latest forex news.

Share This Page

free forex signals