China’s industrial profits took a hit in September, declining even more sharply than the previous month. This downward trend is attributed to deflationary pressures that are weakening corporate finances.
According to the National Bureau of Statistics, profits at major Chinese companies dropped by 27.1% year-on-year in September, following a 17.8% decrease in August. profits for the first nine months of the year were down by 3.5% compared to the same period in 2023.
The bureau explained that these figures were influenced by various factors, including a high base from the previous year.
Industrial profits serve as a crucial indicator of the financial well-being of industrial facilities and can impact their investment strategies moving forward. The challenges faced by China’s economy, valued at $18 trillion, have been underscored by declining profits, leading to interventions like interest rate cuts starting late September.
As China navigates these economic challenges, its top legislative body is gearing up for an important session…
2024-10-26 22:20:46
Article from finance.yahoo.com
