China: Nominal fixed investment disappoints in May
Nominal urban fixed asset investment increased 15.4% in year-to-date terms in May, which followed April’s 19.9% increase. May’s outturn marked the worst reading since December 2020, and undershot market expectations. The figure was due to decelerations in the primary, secondary and tertiary sectors, with infrastructure and property investment in particular losing momentum amid the government’s gradual withdrawal of policy support and efforts to curb financial risks.
On a monthly basis, nominal urban fixed asset investment increased 0.2% in seasonally-adjusted terms in May, which was below April’s 0.9% expansion.