This refers to the earlier data from China:
The month-on-month move alone m/m was -7.3%, extending its decline to a fourth straight month. However, October was -10%, so a slower pace fell in November.
The data comes from China's National Bureau of Statistics (NBS). These business profit figures describe companies that generate an annual revenue of at least 20 million yuan ($2.7 million).
China is the second largest economy in the world. It still faces challenges to post-pandemic recovery, including
- weak consumer and business investment
- a prolonged downturn in the housing market
- and new trade risks associated with the incoming US administration
- weak domestic demand
Recent economic data showed mixed signals: business output grew in November, but home prices fell at the slowest pace in 17 months. Meanwhile, state-owned companies saw profits drop 8.4%, foreign companies recorded a 0.8% drop, and private sector companies fell 1% in the first 11 months.
To combat these challenges, Chinese policymakers have pledged to increase economic aid, including increasing the fiscal deficit, issuing more debt, and easing monetary policy. Measures include plans for special financial bonds of $ 411 billion in 2024 and more fiscal support for consumers and social security programs.
***
I posted a couple of information from China over the break earlier:
- Chinese People's Political Consultative Conference (CPPCC) on March 4
- The National People's Congress will be held on 5 March 2025
