Is China's economy finally rebounding after forecast-beating growth?

Official Beijing data showed China's economy grew past estimates in the third quarter of the year following aggressive government support and improving consumer spending.

Thus can we say that China's economy has exited the bottleneck? after steep declines in recent months due to the fallout of Covid 19 shutdowns, which hurt businesses and consumption. 

Strong growth in the third quarter of the year is am important short-term boost, especially as the Chinese economy continues to pour financial support into the economy.

Growth Data

Official data showed China's economy grew 4.9% in the third quarter of the year, beating expectations of 4.5%, while down from 6.3% in the second quarter.

Data also showed retail sales rose 5.5% in September, beating estimates of 5.0%, and up from 4.6% inn August. 

Retail sales indicate the level of consumer spending of the economy, which constitutes over a half of the GDP.

Outlook

Despite risks for a slowdown in growth next years, the short-term factors favor an economic rebound, as the government continues to ratchet up its support.

Global Markets 

In a reaction to the data, yuan rallied against major rivals, with Beijing stock markets also rebounding alongside minerals prices worldwide.