China's economy grew 4.5 percent in the third quarter compared with a year earlier, beating forecasts of 4.4 percent, according to data released Monday, offering a steadier picture of growth even as global investors stayed nervous about other parts of the world economy.
Retail sales also came in ahead of expectations, rising 1.1 percent against a forecast of 0.5 percent, a sign that household spending held up better than many economists had anticipated. The Shanghai Composite rose modestly following the data, even as other Asian markets traded more cautiously amid the broader pullback in global technology shares. Hong Kong's market was closed Monday for the Chung Yeung public holiday.
The growth figures land against a longer-term backdrop of demographic change in China, where Beijing's population is expected to become super-aged by 2035, meaning more than one in five residents will be 65 or older, according to recent reporting. That shift is part of a broader aging trend across the country that policymakers have been working to address through various social and economic measures, even as near-term growth data continues to beat expectations.
The steadier Chinese data arrived at a moment when global markets were already parsing a mix of signals, from a sharp technology selloff on Wall Street to elevated oil prices tied to geopolitical tensions, making China's growth print one of the few pieces of reassuring economic news investors had to work with on Monday.
China's growth has been closely watched this year as policymakers balance support for domestic consumption against efforts to manage debt in parts of the property and local government sectors. The retail sales figure in particular is being read as a signal of how much traction government measures aimed at boosting household spending are gaining, since consumption has been a focus of policy attention as the country looks to rely less on exports and investment for growth.
How does this growth rate compare with expectations?
The 4.5 percent year-over-year figure came in slightly above the 4.4 percent that forecasters had expected.
What does 'super-aged' mean for Beijing's population?
It refers to a population in which more than one in five residents are 65 or older, a threshold Beijing is projected to reach by 2035.