The world’s second-largest economy, China has been cautious in order to prepare markets for additional indicators of progressive deceleration. Li Keqiang, the Chinese premiere has stated that the economy was “basically stable” which suggested that the second-quarter growth is close to the level of the first quarter of 6.7 percent.
China continues to develop moderately with its 6.7 percent growth. The target compound of China is an annual growth rate of 6.5 percent for the following years. The head of China equities for BlackRock, Helen Zhu stated that most of the opportunities from China are structural reforms and the corresponding changes it does to the economy.
However Chinese leaders remain cautious ahead of Q2 growth data and the focus on reform. It is speculated that China may join several central banks by also cutting rates in order to boost growth.
The material has been provided by InstaForex Company – www.instaforex.com