China’s economy continued its slow recovery from the coronavirus slump in May, with better sentiment among companies tempered by the grim global outlook.
That’s the assessment from the earliest available indicators, which continued the pickup seen in April. However, global demand is weak and financial markets fell last week partly on disappointment at the government’s modest stimulus plans.
Smaller firms were more confident in May than they have been since the outbreak of the coronavirus, with production and new orders up, according to a Standard Chartered Plc survey of companies. Industrial output expanded in April, while consumption and imports continued to shrink. How those factors play out will be key, as the world’s largest trading nation continues to rely heavily on exports for growth.