China's falling property sales, investment weigh on recovery

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Grandpere’s love builds a Viking ship in West Pubnico | SaltWireBEIJING - China's property sales and investment posted double-digit declines as efforts to support big cities failed to bolster confidence in an industry struggling to emerged from crisis, although the pace of contraction slowed.

The property sector is struggling to regain its footing, with piecemeal support measures providing just a short-lived boost in tier-one cities, while the rest of the country grapples with an oversupply of homes and low confidence. However, the prolonged debt crisis in the property sector, which accounts for nearly a quarter of economic output, has been a drag on China's growth this year, hampering activity across a broad swathe of industries.

Property investment fell 18.7% from a year earlier after a 19.1% drop in August, according to Reuters calculations.

 

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