The first quarter data confirmed that stimulus measures are boosting China’s GDP growth towards the 5% target in 2024. At the same time, sectoral differences are large as consumer confidence is weak and the downturn in the housing sector continues. China’s GDP increased by 5.3% y/y and 1.6% q/q in the first quarter of 2024. The quarterly numbers were somewhat higher than had been expected but many monthly indicators actually weakened in March. There continues to be large sectoral differences in the short-term outlook which is not a surprise given the weak confidence in the household sector but on the other hand the ... (full story)