China’s growth will moderate this year, but more sustainable – JP Morgan

JP Morgan’s Chief China Economist Haibin Zhu expresses his take on China’s growth prospects after the flurry of China PMI data, in an interview with Bloomberg TV.

Key Highlights:

Today's PMI figures here are solid.

The economy is still on the right path.

Q2 momentum is still fine but may slow down in 2H.

External environment for China is getting worse.

Trade woes with the US may be a drag on trade activity.

CNY has been quite stable.

Deleveraging efforts set to continue.

Growth will moderate as a result, but it'll be more sustainable.