News from Danske Research:
Today's economic data suggest that China's recovery is becoming more balanced with private domestic demand and exports substituting public investments as the main growth engines. However, the October data is not as strong as today's press headlines suggest. Growth in domestic demand and imports have slowed and Chinese imports of important commodities declined substantially in October. However, some of this weakness is probably explained by an extended holiday in October and should prove temporary. Underlying inflation has stabilised around 2%, suggesting no imminent need for substantial monetary tightening.
Flash Comment - China: A more balanced recovery