Chinese factory output grows upbeat, consumers remain wary

Chinese factories sustained their upbeat performance for another month in May. This followed as the country shook off the economic disruptions brought by the novel coronavirus crisis. However, figures indicated that recuperation would not come easy.

Data released on Monday revealed consistent fluctuations in retail sales and investment. This underscored that many sectors were still suffering from the effects of quarantine restrictions across the world’s second-biggest economy.

Industrial output growth soared to 4.4% in May from a year earlier. This came to be the most upbeat figure since December, official data released on Monday. Analysts speculated a 5.0% increase from 3.9% in April.

Retail sales dropped for four consecutive months. Though the 2.8% contraction came milder than the 7.5% slump in April, it still surpassed the 2.0% prediction rendered by analysts. Unemployment surge and fears of a second wave of infections have retained consumers’ dim sentiment.

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