Weak China Activity Data Keep Stimulus Focus, TD Securities Says
Soft July data from China highlighted sluggish industrial output, subdued retail sales and weak fixed-asset investment, according to TD Securities, leaving growth risks and possible stimulus in focus.
TD Securities’ Alex Loo pointed to China’s July data as evidence of lingering growth headwinds. Industrial production came in weaker, retail sales were only modest, and fixed-asset investment was described as record-weak.
The data reinforce concerns about insufficient domestic support, keeping attention on the growth outlook and the case for additional stimulus.
For markets, the report adds to the narrative of softer Chinese momentum, which may weigh on risk sentiment and China-sensitive currencies.
Source: FXStreet Forex News