Table of Contents
1. Forecast Snapshot 6
2. Real Economic Activity – Stronger-Than-Expected Developments in 2Q09 7-8
3. Sentiment and Leading Indicators – Broad-based Improvement 9-13
4. Price Developments – Easing Deflation 14-15
5. Monetary Policy Indicators – Moderating New Loan Creation and Money Supply 16-20
6. Fiscal Policy Indicators – Rebounding Revenue with Moderating Expenditure 21-22
7. Investment – Rapid Expansion of Infrastructure Investment 23-25
8. Industrial Production, Sales, and Inventory – V-shaped Rebound 26-28
9. Employment, Income, and Consumption – Nominal Down, Real Up 29-33
10. Industrial Profitability – Profit Growth and Margin Improved 34-35
11. External Trade and FDI– Continued Sequential Improvement in Exports 36-43
12. Foreign Reserves – ‘Hot Money’ Inflows Returning 44
13. Exchange Rate – Renminbi Depreciates On Trade-weighted Basis 45
14. Financial and Property Markets – Property Sales Volume Rebounded; Prices Climbed Up 46-48
15. Global Forecast Snapshot 49-52
16. Recent China Economics Reports 53