JPMorgan lowers its growth forecasts for China

Source: Bloomberg

As the economic situation in China deteriorates with the weakening demand in exports and declining real-estate market, JPMorgan has lowered its economic growth estimates to 7.7%. The forecasts decreased by 1.5% from the previous year's 9.2%, and have been reduced two times in a month. According to Tim Condon, ING's Financial Markets chief Asia economist, the figures emphasize that the recession is expanding to the services area from the manufacturing area. The economist has also added that recent data is more difficult to interpret than for the year 2008, which raises concerns for the Chinese officials.

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