I noted a comment from RBS yesterday on China, that "We think the risks of a more pronounced downturn in real estate and a material decline in infrastructure investment have receded"
There is a little more along those lines at the Wall Street Journal: China Housing Market Shows Signs of Turnaround
- China's housing sales showed signs of a turnaround in April, posting growth of more than 10% after falling in 15 of the previous 16 months, as home buyers waded back into the market
But ...
- While sales picked up sharply, other metrics such as investment and construction starts in the all-important property sector continued to show weakness
So, not all roses .... but 'green shoots' maybe?
A diminution of the problems in the China housing market should be a positive input for the AUD
