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Monthly Data Run Coming Up

CHINA DATA

Coming up shortly is the China monthly run of industrial production, retail sales, fixed asset investment, property investment and the jobless rate. The consensus looks for improvement in IP and retail sales, but softer reads on FAI and property investment.

  • IP is expected to improve to -0.9% from -2.9% in April, while retail sales is expected at -7.1% versus -11.1% previously.
  • FAI is expected to moderate further to 6.0%, from 6.8% last month. Property investment remains a headwind, forecast at -4.4% for May, versus -2.7% in April.
  • The jobless rate is expected to be unchanged at 6.1%
  • Earlier the 1yr MLF rate was held steady at 2.85%, while 200bn in MLF issuance matched maturities. Both outcomes were as expected by the market.

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