China Consumer & Retail Q1 2019
We continue to hold a favourable outlook for the Chinese consumer market, with private consumption growthoutpacing that of its regional peers, and continued efforts at re-balancing the economy towards consumption boding well for thesector. Household loan growth is rising and the strong pickup in short-term household loans is set to continue, benefitingretailers across all sectors. However, we caution that the negative spill-over effects from the US-China trade tensions have led to apickup in food inflation and have also impacted growth in disposable incomes due to factory closures.
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