- China's trade surplus jumped 61% in August to $28.6B, topping consensus of $20B.
- Exports +7.2% on year vs 5.1% in July and consensus of 6%.
- Imports +7% vs 10.9% and 11.3%.
- Exports to ASEAN nations +30.8%, to U.S. +6.1%, EU +2.5%.
- The strong export figures add to positive PMI and other data that indicate that China's economy is stabilizing after slowing in nine out of the past 10 quarters.
- "China's August trade sustained the upward trend seen since July, in line with accelerating growth momentum and improving market sentiment, pointing to an upside bias in Q3 GDP growth," write ANZ economists Liu Li-Gang and Zhou Hao.
- However, the weaker-than-expected imports could prompt concern about domestic demand.
- Other data due this week includes industrial output, inflation, money supply and investment.
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