9 May 2016
China trade: Imports disappoint, domestic demand wavers - Nomura
According to Nomura, China's trade data over the weekend, reinforces their view that the improvement in domestic demand and growth may be short-lived.
Key Quotes
"Export growth declined to -1.8% y-o-y in April after a strong rebound to 11.5% in March but the March rebound was mainly due to base effect."
"Import growth disappointed, falling to -10.9% y-o-y from -7.6%, with weaker processing trade, while the improvement in domestic demand may be losing steam."
"These data reinforce our view that the debt-fuelled improvement in domestic demand and growth may be short-lived. We maintain our 2016 GDP growth forecast of 6.2%."
Key Quotes
"Export growth declined to -1.8% y-o-y in April after a strong rebound to 11.5% in March but the March rebound was mainly due to base effect."
"Import growth disappointed, falling to -10.9% y-o-y from -7.6%, with weaker processing trade, while the improvement in domestic demand may be losing steam."
"These data reinforce our view that the debt-fuelled improvement in domestic demand and growth may be short-lived. We maintain our 2016 GDP growth forecast of 6.2%."