Everything You Need to Know About China's Economy on Tuesday (April 16)
Your Daily & Trustworthy Updates on the Chinese Economy
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Good Tuesday! This is TIAN in Beijing.
Welcome to monitor the pulse of China’s economy together with me.
DRIVING THE DAY, China's gross domestic product (GDP) grew 5.3 percent year on year in the first quarter of 2024, data from the National Bureau of Statistics (NBS) showed.
The country's GDP reached 29.63 trillion yuan (about 4.17 trillion U.S. dollars) during this period, the NBS data showed.
On a quarterly basis, the economy increased 1.6 percent in the first three months.
MEANWHILE, the NBS said China's per capita disposable income stood at 11,539 yuan (about 1,624.57 U.S. dollars) in the first quarter of 2024, up 6.2 percent year on year in nominal terms.
Separately, urban per capita disposable income came in at 15,150 yuan, up 5.3 percent, while per capita income in rural areas stood at 6,596 yuan, an increase of 7.6 percent.
In terms of income sources, per capita income from wages, net income from operations and net income from property increased by 6.8 percent, 6.8 percent and 3.2 percent, respectively, in nominal terms.
During this period, the median of nationwide per capita disposable income was 9,462 yuan -- representing nominal growth of 6.4 percent year on year.
Tuesday's data also showed that China's gross domestic product grew 5.3 percent year on year in the first quarter of 2024.
ALSO ON TUESDAY, official data showed that the surveyed urban unemployment rate on average in China stood at 5.2 percent in the first quarter of this year, down 0.3 percentage points from the same period last year.
In March, the surveyed urban unemployment rate in the country came in at 5.2 percent, down 0.1 percentage points from the month before as well as March 2023, indicating a generally stable employment situation, according to the NBS.
The surveyed urban unemployment rate for 31 major Chinese cities stood at 5.1 percent, and surveyed unemployment rate for rural migrant workers was 5 percent, according to the NBS data.
IN Q1, China's retail sales of consumer goods, a major indicator of the country's consumption strength, climbed 4.7 percent year on year, official data showed Tuesday.
The growth was compared to an increase of 5.5 percent registered during the January-February period, according to data from the NBS.
Retail sales in the country's urban regions rose 4.6 percent year on year during the period, while that in rural areas expanded 5.2 percent.
Online retail sales jumped 12.4 percent year on year, with online retail sales of physical goods expanding 11.6 percent and accounting for 23.3 percent of the total retail sales of consumer goods.
IN TODAY'S FINIANCIAL MARKET,
Shanghai Composite Index Fell 1.65% on Tuesday
China’s benchmark Shanghai Composite Index (000001.SH) lost 1.65% on Tuesday, while the Shenzhen Component Index (399001.SZ) fell 2.29%.
Shanghai’s tech-heavy STAR 50 Index (000688.SH) lost 2.36% for the day, while Shenzhen’s similar ChiNext Index (399006.SZ) fell 1.97%.
Chinese yuan weakens to 7.1028 against USD Tuesday
The central parity rate of the Chinese currency renminbi, or the yuan, weakened 49 pips to 7.1028 against the U.S. dollar Tuesday, according to the China Foreign Exchange Trade System.
In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day.
Hong Kong's Hang Seng Index closes 2.12 pct lower
Hong Kong's stock market ended lower on Tuesday with the benchmark Hang Seng Index down 2.12 percent to close at 16,248.97 points.
The Hang Seng China Enterprises Index fell 1.92 percent to end at 5,743.78 points, while the Hang Seng Tech Index fell 3.04 percent to close at 3,337.85 points.
China's central bank adds liquidity via reverse repos
China's central bank conducted 2 billion yuan (about 281.5 million U.S. dollars) of seven-day reverse repos at an interest rate of 1.8 percent Tuesday.
The move aims to keep liquidity reasonable and ample in the banking system, the People's Bank of China said in a statement.
China's benchmark interbank gold prices lower Tuesday
According to the China Foreign Exchange Trade System, the benchmark price for gold that is 99.95 percent pure or above stood at 560.36 yuan (about 78.89 U.S. dollars) per gram, down 6.00 yuan from the previous trading day.
The price for gold that is 99.99 percent pure or above lost 8.53 yuan from the previous trading day to 558.68 yuan.
FYI: China to raise gasoline, diesel retail prices
China will raise its retail prices of gasoline and diesel from Wednesday, based on recent changes in international oil prices, the country's top economic planner said on Tuesday.
Gasoline and diesel prices will increase by 200 yuan (about 28.16 U.S. dollars) and 195 yuan per tonne, respectively, the National Development and Reform Commission announced in a statement.
Under China's current pricing mechanism, the prices of refined oil products are adjusted following changes in international crude oil prices.
AT THE END OF TODAY'S SHARING, LET'S TAKE A LOOK AT YOUR DAILY FUTURES,
No.1 soybean futures closed lower on Tuesday in daytime trading at the Dalian Commodity Exchange (DCE).
The most active No.1 soybean contract for May 2024 delivery dipped 33 yuan (about 4.65 U.S. dollars) to close at 4,705 yuan per tonne.
On Tuesday, the total trading volume of six listed No.1 soybean futures contracts on the exchange was 96,351 lots, with a turnover of about 4.54 billion yuan.
Iron ore futures closed lower on Tuesday in daytime trading at the Dalian Commodity Exchange.
The most active iron ore contract for September 2024 delivery dipped 12.5 yuan (about 1.76 U.S. dollars) to close at 826 yuan per tonne.
On Tuesday, the total trading volume of 11 listed iron ore futures contracts on the exchange was 684,634 lots, with a turnover of about 57.13 billion yuan.
About the Newsletter:
Ran by TIAN Dongdong, this newsletter features daily, trustworthy content on China's economy and regularly updates the insights of Chinese youth on Sino-US relations. Having worked in Brussels, London, Cairo, and Tripoli for Chinese media as correspondent for several years, TIAN is now based in Beijing.