China's economy: a milestone for moderation

China's economy: a milestone for moderation. Today's publication of China's GDP data for 2014 will confirm the country's slowest growth in more than two decades. But the expected figure of 7.3%-still the fastest of any big economy-is hardly cause for concern. Slightly slower growth is part of the government's plan for steering the economy onto a more sustainable path as it concentrates on structural reforms such as creating a social safety net. And these days the Chinese economy is so large that growth of 7% now adds as much output-more than $700 billion-as a turbo-charged 14% did in 2007. However, even a healthy GDP figure is unlikely to assuage investors' fears about the Chinese stockmarket, which plunged by 7.7% on Monday, the biggest fall in six years. That is a long-overdue correction after a soaring rally that had little to do with economic fundamentals.


MORE ON



2 topics

Livewire News brings you a wide range of financial insights with a focus on Global Macro, Fixed Income, Currencies and Commodities.

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.