China's economic activity moderating in 2011: The Conference Board
China's Leading Economic Index (LEI) increased (19-Apr-2011) 0.3% in Feb-2011 to 155.3 (2004=100), following a 0.2% increase in Jan-2011 and a 0.5% decline in Dec-2010, according to The Conference Board. Three of the six components contributed positively to the index in Feb-2011. The Coincident Economic Index (CEI) for China, which measures current economic activity, increased 0.4% in Feb-2011 to 197.1 (2004=100), following a 0.5% increase in Jan-2011 and a 0.9% decrease in Dec-2010. Three of the five components contributed positively to the index in Feb-2011. [more]
The Conference Board: “The LEI for China slowed noticeably in February compared to late 2010, pointing to tighter macroeconomic policies taking effect and moderating economic activity in 2011. Scarcer credit and a softening real estate market will create a drag on investment activity in coming months. Consumer expectations have reached their lowest level since April 2009 – probably a reaction to intensifying inflation, raising concerns over spending growth. Manufacturing employment also showed some signs of weakness in the first two months of the year," Bill Adams, China Center resident economist. Source: Company Statement, 19-Apr-2011.