China’s Economy Shows Signs of Stabilizing as Exports Gain - Bloomberg
China’s Economy Shows Signs of Stabilizing as Exports Gain - Bloomberg
China’s exports and money supply grew more than estimated in September, signaling that the world’s second-biggest economy may be stabilizing after a slowdown that began in the first quarter of 2011.
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Shipping containers are stacked at the Yangshan Deep Water Port in Shanghai. Trade data indicate that the value of China’s exports to the U.S. exceeded its imports from the nation by about $21 billion in September. Photographer: Nelson Ching/Bloomberg
Overseas shipments increased 9.9 percent from a year earlier, the customs administration said Oct. 13 in Beijing. That was more than the 5.5 percent median estimate in a Bloomberg News survey of economists. M2 money supply gained 14.8 percent, the fastest pace since June 2011, a central bank report showed the same day.
Inflation numbers due today and an Oct. 18 report on the third-quarter economy will complete the picture as officials assess whether more measures are needed to sustain growth as the Communist Party prepares for a once-a-decade leadership handover starting next month. At an International Monetary Fund meeting in Tokyo yesterday, central bank official Yi Gang said that bubble risks remain in housing markets in major cities and stimulus will be restricted to an “appropriate” level.
“Better-than-expected export growth is likely to help support employment and reduce pressure for more policy easing ahead of the leadership transition,” said Chang Jian, a Hong Kong-based economist at Barclays Plc. “Monetary easing has been constrained by concerns about a rebound in property prices and medium-term inflation risks.”
The lack of a “big” fiscal stimulus also points to concerns about rising government debt, banks’ non-performing loans, and inefficient investment, she said.