China's retail earnings up 8.5% for the Lunar New Year holidays
An increase in shopping was seen for new-year gifts, electronic products, traditional foods, and local specialty products.
Retailers and firms in China earned ¥1.01 trillion over the six-day Lunar New Year holiday period which ended on Saturday, the country’s Ministry of Commerce said. However, the pace of increase in sales was the slowest increase since 2011 as compared to previous years.
The sales for this year’s holidays - which were from February 4th to the 10th - was 8.5% higher than a year ago, due to a rapid growth in new-year gifts, electronic products, traditional foods, and local specialty products, the country’s commerce ministry said on its website.
But the weakness in the pace of increase as compared to previous years reflects an economy with a weakened domestic spending. China is expected to record slower growth for this year, as it continues to face trouble from its trade conflict with the United States while it copes with its rising debt levels.
The country reported a 6.6% gain in gross domestic product (GDP) for last year, the worst reading in almost 30 years. Fourth quarter GDP expanded at the slowest pace since the global financial crisis, due to the slack coming from both local and foreign demand.
Over the festive holiday period, domestic tourism generated ¥513.90 billion in sales, an 8.2% increase from a year ago, said Chinese news agencies, citing data from the commerce ministry. For last year, domestic tourism rose by 12.6%.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets
You might be interested in…
Find out what charges your trades could incur with our transparent fee structure.
Discover why so many clients choose us, and what makes us a world-leading provider of spread betting and CFDs.
Stay on top of upcoming market-moving events with our customisable economic calendar.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.