Slowing credit growth in China is yet another sign of the dwindling consumption appetite of households. Bank lending to households has been contracting outright in recent months, even though liquidity...

The net increase in new credit jumped in May, but that just reflects the usual seasonal pattern. Year-on-year growth in aggregate financing to the real economy (AFRE – the PBOC’s preferred measure of...

Although cost pressures for Chinese firms picked up further in May, they remain somewhat narrow in scope. Moreover, consumer price inflation is already showing signs of tapering off, and we think it...

Chinese exports gained further momentum in May, led by soaring semiconductor shipments. Meanwhile, the pickup in import growth mostly reflects favourable base effects.