The activity data suggests to a weakening of the impulse from the first quarter, but industrial production has remained. Early exports and the implementation of macroeconomic policies will continue to support growth in the second quarter. The real estate market remains the main ballast for the domestic economy. The tariff truce reduces the probability of an additional stimulus, in our opinion, but uncertainty remains high in the second half of the year, Standard Chartered economists report.
Resilience placed
“In general, April data showed resilience in the middle of the tariff war. The industrial production remained solid, while retail sales and investment in fixed assets arrived slightly below expectations. Although April data suggests a decelerated momentum since the first quarter, the activity has remained well; this is a good omen for a growth of approximately 5% in the second 5.4% year -on -year in the first quarter) due to a favorable base effect. “
“Early exports and a faster deployment of the stimulus have probably contributed to this resilience. In general, exports remained well in April. The data shows strong growth in retail sales of subsidized goods as part of the Government’s consumer goods exchange program and a solid expansion in investment in infrastructure and manufacturing, supported by the early emission of government bonds. They will remain favorable for growth in the second quarter. “
“However, the US tariff uncertainty persists and the Chinese housing market remains a ballast. The recent reduction of tariff tariffs.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
