China GDP expected to grow by 7,5% in Q2 - ING

FXStreet (Łódź) - Tim Condon from ING suggests that China's Q2 GDP should come in at 7.5%, slightly better than the consensus forecasts for 7.4% growth.

Key quotes

"2Q14 GDP and the rest of June activity data on industrial production, fixed asset investment and retail sales are due on Wednesday, July 16, at 10am local time."

"The consensus forecast for GDP growth is 7.4% (prior 7.4%). The sequential increases in the official and HSBC/Markit manufacturing PMIs in April, May and June make us more optimistic (INGF 7.5%)."

"The fixed asset investment data will inform about the supply side of the housing market and the 70-cities new home price indexes, due Friday, July 18, will inform about the demand side. Half of all cities reported sequential price declines in May and we expect the number to rise in June."

"We expect macro policy fine tuning will sustain 7.5% GDP growth this year (Bloomberg consensus 7.4%)."