We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
Gold
Bullish
Oil - US Crude
Bearish
Bitcoin
Bullish
More View more
Real Time News
  • LIVE NOW: Join Currency Strategist @PaulRobinsonFX as he discusses a wide range of topics with emphasis on psychology, trade execution, and risk management with the goal of helping traders improve performance. Register here: https://www.dailyfx.com/webinars/602330483?CHID=9&QPID=917720
  • 🇪🇺 EUR Euro-Zone Industrial Production w.d.a. (YoY) (OCT), Actual: -2.2% Expected: -2.4% Previous: -1.8% https://www.dailyfx.com/economic-calendar#2019-12-12
  • LIVE IN 30 MIN: Join Currency Strategist @PaulRobinsonFX as he discusses a wide range of topics with emphasis on psychology, trade execution, and risk management with the goal of helping traders improve performance. Register here: https://www.dailyfx.com/webinars/602330483?CHID=9&QPID=917720
  • Heads Up:🇪🇺 EUR Euro-Zone Industrial Production w.d.a. (YoY) (OCT) due at 10:00 GMT (15min), Actual: N/A Expected: -2.4% Previous: -1.7% https://www.dailyfx.com/economic-calendar#2019-12-12
  • Join @PaulRobinsonFX 's #webinar at 5:30 AM ET/10:30 AM GMT to learn about how you can become a better trader. Register here: https://t.co/WeWGKtdlyz https://t.co/sAiq2T3EAQ
  • Central bank independence has several advantages and disadvantages. Find out what they are in-depth with @MartinSEssex here: https://t.co/wVFXbbTxf1 https://t.co/gRUZPiE6vs
  • $GBP O/n vols highest since EU Referendum https://t.co/7DhR3jhII1
  • Have central banks run out of ammo? And where are central banks headed? Find out from Cross-asset class trader, @JohnNetto only on Trading Global Markets Decoded #podcast with @MartinSEssex here: https://t.co/Twr44cZ1GB https://t.co/A2qMIwCTU4
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.95%, while traders in US 500 are at opposite extremes with 76.51%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/SC18bOymU6
  • 🇨🇭 CHF SNB Sight Deposit Interest Rate (DEC 12), Actual: -0.75% Expected: -0.75% Previous: -0.75% https://www.dailyfx.com/economic-calendar#2019-12-12
China 2017 Growth Target Around 6.5%- Li Keqiang

China 2017 Growth Target Around 6.5%- Li Keqiang

2017-03-05 03:29:00
David Cottle, Analyst
Share:

Talking Points

  • The Chinese Premier did as markets thought he would and said Beijing was aiming for growth of “around 6.5%” this year
  • This is even lower than the 6.7% notched up in 2016, but China needs time to reform, cut debt
  • Consumer price, deficit targets were also as expected

Premier Li Keqiang told the National People’s Congress in Beijing on Sunday that the government will target slower economic growth this year.

Gross Domestic Product rose by 6.7% in 2016, according to official figures. That was the smallest rise since 1990. However, Beijing will tolerate a slightly lower rate still in 2017 as it seeks to reform the economy and deal with a huge debt build-up. The administration is now aiming at growth of ‘around 6.5%’ this year Premier Li Keqiang said.

The Chinese government used substantial stimulus to keep the economy motoring at even last year’s relatively modest pace. Infrastructure investment soared, as did bank lending, despite repeated warnings about the country’s massive corporate debts. Li reportedly said that China will now take further steps to ensure financial-sector safety, including higher vigilance of the shadow-banking sector.

The government also unveiled plans aimed at ensuring every family has at least one wage-earner, even as jobs are cut in China’s traditional state-owned heavy industries. Beijing reportedly believes that 11 million new city-based jobs will be created in 2017, but that won’t be enough to employ the 15 million new workers whom the government believes will enter the labor market.

China will also target an annualized consumer price index rise of “around 3%” this year, while its budget-deficit target is 3% of GDP. All these benchmarks were broadly as expected by investors, and a Sunday-torpid foreign exchange market didn’t react much to Li’s words. Of course, it may mull them over anew when trading desks are more fully staffed on Monday.

The Australian Dollar is often the markets’ favorite liquid China proxy, but didn’t move far on this occasion. AUD/USD was steady around 0.75942 as Li spoke and afterward.

Sunday stuck: AUD/USD

https://www.tradingview.com/x/VkUjI7IL/

Chart compiled using TradingView

Away from economics, Li also said that China would continue to resolutely oppose and contain independence activities in Hong Kong and Taiwan.

Want to know more about financial market trading? Check out the DailyFX webinars

--- Written by David Cottle, DailyFX Research

Contact and follow David on Twitter:@DavidCottleFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.