Economic Recovery Not Yet On Solid Ground

The post-GDP NBS press conference notes sees China reaffirm the idea that its economic bounceback from May is not on firm ground, stressing that it will do what is required to make sure that the economy operates “within a reasonable range,” while being a little more explicit re: the challenges it faces (both structural & cyclical). The attainment of the country's annual GDP growth target looks to be a huge challenge at present, with wider recession worries in the U.S. & Europe, coupled with domestic property market headwinds and the country’s zero COVID strategy providing the most obvious obstacles to growth.