China’s economic growth last quarter probably undershot Beijing’s annual target for 2023 as the property sector and subdued demand weighed on activity, a sign of the recovery’s fragility as the government reportedly mulls more stimulus.
Data due Wednesday will likely show gross domestic product expanded 4.5% in the July-to-September period from a year earlier — below the official full-year target of about 5%. GDP growth from the prior quarter likely picked up slightly. Authorities will also release data on industrial output, retail sales, investment and unemployment.
A growth rate slowing below the government’s annual goal may create a case for policymakers to step up support for the economy. While stimulus so far has appeared to have some impact — factory activity improved and a drop in exports moderated — consumer prices in September slowed to the brink of deflation and loan growth was weak.