China's growth slowed to its weakest pace in nearly three decades in the second quarter, with the US-China trade war and weakening global demand weighing on the world's number-two economy, official data showed Monday.
China's new home prices grew 0.6% month-on-month in June, slowing from a 0.7% uptick in May, Reuters calculated from official National Bureau of Statistics (NBS) data on Monday.
The April-June pace was in line with analysts' expectations for the slowest since the first quarter of 1992, the earliest quarterly data on record.
China has moved to stimulate its economy this year by boosting spending and delivering tax cuts.
Financial markets are closely watching the health of the Chinese economy as the year-long Sino-US trade war takes a heavier toll on businesses and investment, fuelling worries of a global recession.
Analysts polled by Reuters had tipped a 5.2 percent rise, compared with 5.0 percent growth seen in May.
The slowing economy makes it more hard for President Xi Jinping to fight back forcefully against Washington - which is using tariffs as leverage to try to force Beijing into opening up its economy.
Since China is the biggest export customer for many of its neighbors and huge market for global suppliers of food, mobile phones and other goods, weaker growth is unwelcome. While the two sides have since agreed to resume trade talks and hold off on further punitive action, they remain at odds over significant issues needed for an agreement.More news: New Orleans braces as Hurricane Barry hits land nearby
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A steady string of weak economic data in recent months and the sudden escalation in the U.S.
There were, however, some bright spots for the Chinese economy in Monday's data.
Trump and Chinese President Xi Jinping agreed in late June to restart talks on their stand-off over the longstanding USA trade deficit and Chinese economic policies the US side says are unfair and violate market Beijing's market opening commitments. Sales of automobiles surged 17.2 percent in the month, accelerating from a 2.1 percent gain in May.
Better-than-expected retail sales data also lend credence to the idea that stability will emerge in the second half of the year.
Fixed asset investment growth in the first half accelerated at private firms, whereas state companies eased back, a further sign that government efforts to funnel cash to the private sector may be bearing fruit.
Real estate investment, a major growth driver for the world's second-largest economy, quickened in June.
Julian Evans-Pritchard, senior China economist at the consultancy Capital Economics, said he doubted more supportive fiscal policy would mark the start of a turnaround and that Beijing's leaders faced more weakness in the economy.