Activity & Spending (Apr.)

Growth on most indicators accelerated in y/y terms in April. But this was due to a weak base for comparison from a year ago when Shanghai and several other cities went into lockdown. In seasonally-adjusted m/m terms, the outturn was mixed. The recovery in consumer spending regained some momentum and investment growth held steady but industrial activity contracted. While the boost from reopening should still underpin a further recovery in the near-term, the bulk of China’s rebound is now behind us.