Share market lower on weak leads
The market is likely to have been looking for an even more challenging start to the quarter, as a weak market perception about China’s growth could be weighing on stocks.
China’s growth will suffer if its new government puts in place some of the policies that many investors in China and the international community expect, said Anjali Rao, Asia-Pacific economics at the Singapore-based investment bank PwC.
“The outlook for the Chinese growth is still somewhat weak, despite Pre카지노 사이트sident Xi’s pledge that it will pick up over the next five years,” she said.
Rao said that with China’s economy expected to grow at about 7% over the next five years, and with its stock market’s share falling, the outlook in the rest of the world is grim.
If the Chinese economy were to grow at 7% and its stock market were to fall by 10%, “the world would face a worse situation because people would have less capital and there would be less people to help them with their daily expenses”, said Rao. “This would probably give people a greater motivation to sell their stocks.”
In its quarterly Economic Survey, a measure of economic growth, China’s economy shrank 3.1%우리카지노 in real terms in May from a year earlier, driven by a 3% slowing in manufacturing and an 11.2% shrinkage in construction. It is China’s weakest perf더킹카지노orming economy since 2009.
“The outlook for Chinese growth is weak and it needs to catch up with a recovery of growth, which may take several more quarters,” said Andrew Pescatore, senior economist at the Bank of England’s MERS Centre for China.
China’s stock market is also likely to be weaker, while many of the country’s companies are struggling with high investment costs and poor profitability due to the government’s aggressive policies to reform the economy.
“It’s the only hope for China’s economic recovery to happen because of how badly the market is looking for more growth in the next quarter,” said Rao.
A weak China is also contributing to weaker global economic growth.
Weak global growth is also likely to be an issue, particularly when accounting for the expected slowdown in China’s economy, and when considering the recent decision to reduce government spending.
This would give Beijing more breathing space to get more out of China’s economic policy, which remains a top priority for the central government to push through through, according to Patel.
At the same time, a weaker globa
