Baffle With Fake BS: Chinese Q1 GDP Beats And Misses At The Same Time

In keeping with the tradition of Chinese data being fully Schrodingerized, not to mention completely goalseeked and fake, moments ago China reported that its GDP for the quarter which ended 15 days ago has not only been compiled and analyzed, but somehow once again it both beat and missed at the same time. It beat on a Year over Year basis rising 7.4%, just fractionally above the 7.3% expected, while at the same time it missed on a sequential basis with Q1 GDP growing 1.4% Q/Q, just below the 1.5% expected.

Some other Schrodingerian, and fake, data:

  • Retail Sales beat at 12.2%, above the expected 12.1%, but sharply below the 13.6% in Q4
  • Industrial Output missd at 8.8%, below the expected 9.0%, and also well below the 9.7% previously
  • Fixed asset investment also slide from 19.6% at Q4 to just 17.6% as the capex boom is slowly grinding to a halt
  • and finally, Real Estate development dipped from 19.8% to only 16.8%

In short: a substantial deterioration of the economy, one which was to be expected yet one which can be spun as either bullish thanks to the GDP “beat”, and negatively if the purpose is to make a case for more PBOC stimulus.

And now we look forward to seeing if the difference between the consolidate GDP and that spread by regions is more than the CNY1 trillion we have been used to as of late.




via Zero Hedge http://ift.tt/1inIEqC Tyler Durden

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