China’s retail sales beat expectations in October
A staff worker arranges vegetables at a supermarket at Congtai District on November 10, 2021 in Handan, Hebei Province of China.
Li Hao | Visual China Group | Getty Images
BEIJING — China’s retail sales rose more than expected in October, the National Bureau of Statistics said Monday.
October retail sales grew by 4.9% from a year ago, beating a Reuters’ poll forecasting 3.5% growth.
The better-than-expected retail sales in October came during a month that kicked off with China’s last big public holiday for the calendar year. However, significant drivers of retail sales such as autos and apparel declined in October from a year ago.
Industrial production also beat expectations, up by 3.5% year-on-year in October. Reuters had predicted 3% growth.
China’s economy has face several challenges this year — from slower-than-expected consumer spending to disruptive floods threatening to disrupt supply chains.
Adding to the uncertainty is Beijing’s wide-ranging regulatory crackdown targeting sectors including indebted real estate developers and internet companies with alleged monopolistic behavior.
Despite the recent slump in real estate — which accounts for the bulk of household wealth — National Bureau of Statistics Spokesman Fu Linghui claimed Monday that the property market remained stable overall and noted increases in floor space sold.
From January to October, fixed asset investment rose by 6.1% from a year ago, slightly less than the 6.2% rise projected in a Reuters’ poll.
The urban unemployment rate held steady, at 4.9%. That for those aged 16 to 24 remained much higher at 14.2%.
Strong export growth remains a bright spot. China’s economic expansion is still on pace to exceed the IMF’s global growth prediction of 5.9%, according to major banks polled by CNBC.
This is breaking news. Please check back for updates.
— CNBC’s Yen Nee Lee contributed to this report.
