China shows signs economic recovery taking shape
BEIJING (AP) - China's economic growth tumbled to the lowest in more than three years in the latest quarter but retail sales and other activity accelerated in a sign a recovery from the painful downturn is taking shape.
The world's second-largest economy grew by 7.4 per cent in the three months ending in September, below the Communist Party's 7.5 per cent target for the full year, data showed on Thursday. That was down from the previous quarter's 7.6 per cent and the lowest since the first quarter of 2009 in the midst of the global crisis.
In a sign of an emerging recovery, economic activity in the latest quarter was up by 2.2 per cent from the previous three month period, the biggest quarter-on-quarter gain in a year, said Dariusz Kowalczyk, senior economist for Credit Agricole CIB in Hong Kong.
"This confirms that the economy is rebounding from the trough in the first quarter of this year," Mr Kowalczyk said. "There is no room and no need for further major stimulus."