bearish

China Economics: Has China Escaped Its Housing-Consumption Slump Yet?

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628 Views25 Jul 2025 09:00
SUMMARY
  • China’s economic malaise will not end until its housing market clears and households have sufficiently rebuilt their savings. These adjustments are far from complete.
  • Continued declines in housing prices across major and smaller urban areas suggest that prices have further to fall, while housing demand and supply are still sluggish.
  • Households also remain defensive, with deposit growth outstripping income growth by a large margin. The economic headwinds will entrench precautionary savings behaviour.
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