Consumers upbeat on hopes of mainland policy easing
Survey shows positive sentiment for business conditions and jobs at its highest this year
Mainland consumers are most optimistic since January with expectations for business conditions, jobs, personal finances and spending power all pointing higher, according to a new survey of attitudes in the 30 biggest mainland cities.
"While an undercurrent of caution still remains, the survey indicates that the anxieties gnawing away at the consumer through the first four months of the year lessened considerably in May," said Huw McKay, a senior economist at Westpac, which sponsors the MNI China consumer sentiment indicator.
The indicator's five sub-indices rose from last month, although it still left the overall sentiment gauge just a whisker below its long run average calculated from April 2007.
Latest government data - for last month - signalled relatively soft domestic demand in the economy. The nominal value of retail sales growth fell, although they accelerated in real terms when adjusted for inflation.
The latest household survey by the government depicted a steady growth in urban and rural household consumption since December last year. Real urban consumption spending rose 7.2 per cent in the first quarter from a year ago, accelerating from 6 per cent in the preceding quarter.