Retail sales in China contracted much more than expected, while industrial production disappointed

BEIJING – China on Thursday reported better-than-expected economic data across the board during the month as widespread COVID-19 controls weighed on growth.

The National Bureau of Statistics said retail sales fell 5.9% in November from a year ago.

That’s worse than expectations for a 3.7% drop, according to analysts polled by Reuters, and a bigger fall than expected. 0.5% down year-on-year in October.

Industrial production grew 2.2 percent in November compared to a year ago, missing Reuters expectations for a 3.6 percent increase. The reported pace was also slower than the 5% increase in October.

Fixed-asset investment for the year ending November slowed to 5.3% year-on-year, missing Reuters expectations for a 5.6% increase. The official version is also down from 5.8% growth in the first 10 months of the year.

Infrastructure investment accelerated in November from October year-over-year, while manufacturing investment slowed slightly. Investment in real estate has declined at an even sharper pace amid the ongoing stagnation of the industry.

The urban unemployment rate rose to 5.7% in November. The unemployment rate for youth ages 16-24 remained well above 17.1%.

The decline in retail sales resulted in the year-to-date total down 0.1% compared to the first eleven months of last year.

Food and drug were the only two subcategories that saw sales grow in November over a year ago, according to the Census Bureau. Apparel and footwear sales decreased by 15.6%.

Online sales of physical merchandise rose just 4% year-over-year in November, down sharply from the previous month, according to CNBC’s calculations of the data accessed by Wind Information.