China's retail sales rise only 0.4% in August, industrial output beats expectations

China's retail sales increased just 0.4% year‑on‑year in August, slowing from a 0.6% gain in July and falling short of the Bloomberg‑surveyed forecast of 0.8%, the National Bureau of Statistics said. Industrial production, however, rose 5.2% YoY in August, up from 4.5% in July and exceeding analysts' expectations for a modest rebound. Fixed‑asset investment fell 7.2% YoY in the January‑August period, deepening the 6.7% decline recorded through July. Real‑estate investment dropped about 20% over the same period. In the second quarter, GDP expanded 4.3% YoY, below the government's full‑year target range of 4.5‑5.0%. Exports remained a bright spot, climbing roughly 25% in August, contributing to a large trade surplus that has generated friction with the United States and the European Union. The mixed data suggest that additional stimulus may be needed to sustain growth.