China's Engine: July 2011

Looking at the latest release of the OECD economic indicators for China, it appears that the massive jump in economic activity seen since the panicky period of late 2008 took a notable pause throughout most of 2010 and after having shown some growth into late 2010, is now back on the decline (note... this is a highly revised series that has been swinging between expansion to contraction with each monthly release).

China’s leading economic indicator suggests that economic activity slowed in July showing a month-to-month decline of 0.10% bringing the latest level just 0.41% below the level seen in July 2010.