Fitch and Moody's both optimistic on China growth ahead

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Fitch and Moody's both optimistic on China growth ahead

<p>China's economic data releases today, much better than expected</p><ul><li><a href="https://www.forexlive.com/news/china-q4-gdp-00-qq-expected-08-20230117/" rel="follow" target="_blank" data-article-link="true" class="article-link">China Q4 GDP 0.0% q/q (expected -0.8)</a></li><li><a href="https://www.forexlive.com/news/china-december-economic-activity-data-beats-across-all-3-indicators-20230117/" rel="follow" target="_blank" data-article-link="true" class="article-link">China December economic activity data beats across all 3 indicators</a></li></ul><p>Chinese data is often ... errr ... unreliable:</p><ul><li><a href="https://www.forexlive.com/news/china-says-its-2022-gdp-growth-was-3-analyst-response-is-nope-much-lower-20230117/" target="_blank" rel="follow" data-article-link="true">China says its 2022 GDP growth was 3% -  analyst response is: Nope, much lower</a></li></ul><p>Meanwhile from Fitch Ratings:</p><ul><li>says end of zero-COVID policy is a net positive for Chinese construction firms </li><li>says that risks do remain</li></ul><p>And Moody's:</p><ul><li>
China's economy will strengthen in 2023 and 2024, with the cyclical
pickup likely to be better than Moody's expected last year</li></ul><p>More:</p><ul><li>Some emerging
markets could be hit hard in a prolonged China slowdown</li><li>Over medium to
longer term, china's growth pace to likely decelerate due to
structural factors like ageing population, declining productivity</li><li>A prolonged slowdown
in China will reverberate to other emerging markets beyond
Asia-Pacific</li><li>Economies with
significant trade exposure to China's commodity demand would bear the
brunt of the slowdown</li></ul>

                This article was written by Eamonn Sheridan at www.forexlive.com.

Source: Fitch and Moody's both optimistic on China growth ahead

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