China: Economy to remain stable - BBH

PMI readings and other forward-looking data suggests China’s economy will remain stable in the Q3, according to the research team at BBH.

Key Quotes

“Yet the modest slowdown continues, with GDP growth expected at 6.6% this year and 6.2% in 2018. Recent moves by the PBOC to introduce a countercyclical factor in the daily fix supports our view that policymakers do not want to see any destabilizing yuan moves this year. Capital controls have worked so far, as outflows ebb and foreign reserves rise.”