BEIJING Reuters Chinas economy grew slightly more slowly than expected in the second quarter, weighed down by higher raw material costs and new COVID19 outbreaks, as expectations build that policymakers may have to do more to support the recovery.
Gross domestic product GDP expanded 7.9 in the AprilJune quarter from a year earlier, official data showed on Thursday, missing expectations for a rise of 8.1 in a Reuters poll of economists.
Growth slowed significantly from a record 18.3 expansion in the JanuaryMarch period, when the yearonyear growth rate was heavily skewed by the COVIDinduced slump in the first quarter of 2020.
Retail sales and industrial output grew more slowly in June, the latter dragged by a sharp fall in motor vehicle production, while NBS data also showed a cooling in Chinas housing market, a key engine of growth.
But June activity data still beat expectations, providing some relief to investors concerned about a slowdown after the central bank announced policy easing last week.
The numbers were marginally below our expectation and the markets expectation but I think the momentum is fairly strong, said UOB economist Woei Chen Ho in Singapore.
Our greater concern is the uneven recovery that weve seen so far and for China the recovery in domestic consumption is very important…retail sales this month was fairly strong and that may allay some concerns.
While the worlds secondlargest economy has rebounded strongly from the COVID19 crisis, buoyed by…