Mobility and spending data – from subway passenger traffic, flight volumes to box office collections – show upticks since late December. Read more at straitstimes.com.
despite a surge in infections, pointing to a gradual recovery in consumption and economic activity this year.
Still, some indicators show activity has not fully recovered to levels of just a few months ago, and many economists remain cautious about the pace of revival following the“The pullback in retail spending has been increasingly broad-based, suggesting that it will take time to reverse the negative psychological impact on Chinese consumers brought on by three years of episodic lockdowns,” said Dr Louise Loo, senior economist at Oxford Economics.
In addition, Dr Loo said a speedy recovery is also hampered by shifts in household liquidity positions over the course of the pandemic. An official factory activity survey showed a sub-index of new export orders has remained in contraction territory for 20 consecutive months. The figure declined to 44.2 in December from 46.7 in November. The 50-point mark separates contraction from growth on a monthly basis.
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