China’s Industrial Output Plunges, GDP Headed For First Contraction On Record

China_Economic Activity_Mar16

China’s industrial output fell more than expected as the coronavirus shutdown factories, across the nation.  Industrial output fell13.5% in January and February from a year earlier, versus a median estimate for a 3% contraction. Retail sales fell 20.5% in the period, compared to a projected 4% fall. Fixed-asset investment dropped 24.5%, versus a forecast 2% decline. The unemployment rate jumped to 6.2%, the highest on record.

Gross domestic product is headed for a year-on-year contraction in the first quarter, its first since comparable data begins in 1989.   Source: Bloomberg