China July factory output, investment, retail slow

China July factory output, investment, retail slow

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The pace of China's economic expansion unexpectedly cooled further last month after a lackluster July, as factory output, investment and retail sales all slowed. According to Bloomberg, The continued cooling of the world's second-largest economy suggests that efforts to rein in credit expansion and reduce excess capacity are hitting home ahead of the key 19th Party Congress in October. Still, producer-price inflation and a manufacturing sentiment gauge both exceeded estimates earlier this month, signaling some resilience. Industrial output rose 6.0% from a year earlier in August, versus a median projection of 6.6% and July's 6.4%. That’s the slowest pace this year. Retail sales expanded 10.1% from a year earlier, versus a projection of 10.5% and 10.4% in July, also the slowest reading in 2017.Fixed-asset investment in urban areas rose 7.8% in the first eight months of the year over the same period in 2016, compared with a forecast 8.2% rise. That's the slowest since 1999.