“A closer look at our sector results provides some relief,” the report said, noting the pickup in retail and services. “So no need to worry. Unless, of course, you think winter could bring broader lockdowns, undo retail and services price gains, and shove deflation concerns to the foreground.”
Turmoil in the housing market is pointing to “a new era of much slower growth” for China, as the government has failed to put in place policies that would stimulate consumption, Miller told Bloomberg TV. The CBBI survey also painted a worrying picture for the manufacturing industry. Indicators including those for profit margins and sales prices in the third quarter deteriorated, both compared to the April-to-June period and to the third quarter of 2021.