MNI DATA BRIEF: China's July Econ Growth Slower Than Expected

China's July macroeconomic indicators slowed down more than expected to the lowest levels this year amid the sporadic outbreak of local Covid-19 cases and floods, the National Bureau of Statistics said on Monday, downplaying the slowdown by pointing to accumulated growths and saying that the economy continues with a steady recovery.

INDUSTRIAL PRODUCTION, RETAIL SALES

Industrial production grew 6.4% y/y in July, down from the 8.3% gain in June and missing the 7.9% median projection. The average growth for the past two years was 5.6%. The 14.4% growth in the first seven months was slower than 15.9% in H1.

Retail sales rose 8.5% y/y in July, decelerating from June's 12.1% gain and underperforming the 10.8% forecast. The average growth for two years was 3.6%. The measure grew 20.7% in the Jan-Jul period, slower than 23.0% in H1.

INVESTMENT, UNEMPLOYMENT

Fixed-asset Investment registered a growth of 10.3% y/y in Jan-Jul period, slowing from 12.6% in H1, also below the 12.0% projection. The average growth for two years was 4.3%.

Manufacturing investment rose 17.3% in Jan-July, compared to 19.2% y/y in H1, growing 3.1% based on the average gain in two years.

Meanwhile, infrastructure and property investment growth both slowed to 4.6% and 12.7% y/y from the previous 7.8% and 15.0%, respectively and decelerated to 0.9% and 8.0% on average for the past two years.

The surveyed urban unemployment rate was 5.1% in July, edging up 0.1 percentage points from June.