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Friday, 10 February 2012

Analysis: Beyond Chinese New Year data skew, a bear lurks


(Reuters) - Trying to track China's economic course during the Lunar New Year can leave analysts howling at the moon. January auto sales tumbled, yet oil imports were the third highest on record. A measure of factory activity picked up, but trade data was weak.

A closer examination of the numbers shows bearish signals lurking beneath the confusing headlines.

Western banking analysts accustomed to a solar calendar that dates from Roman times have their run-ins with China's even more ancient lunar calendar every year. Sometimes the new year holiday lands in January, as it did this year. But last year it was in February, wreaking havoc with year-on-year comparisons.     Full Read

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