Commentary
The latest China data continue to show an overall downtrend, although some rebound is seen. The domestic economy, as represented by internal demand (private and government consumption expenditure and investment), remains weak under deleveraging (paying off debts). One possible way to improve the situation is to rely on external demand, which is net exports. At first glance, this seems sensible because the outside world is in a much better shape economically than China. However, the global cyclical pulldown effect can offset this completely.
