China's Mixed Economic Data Dashed Hopes of Year-End Stimulus

Li Chen
14 Nov, 2025
Hong Kong

 

China's stock market indexes traded lower amid sluggish economic data and weakening market sentiment. 

The Hang Seng Index decreased 0.8%, and the mainland-focused CSI 300 index dropped 0.7% after data on retail sales, industrial production, and the residential housing market underwhelmed investors.  

China's industrial production growth slowed to 4.9% in October from a three-month high of 6.5% in September, the National Bureau of Statistics reported Friday. 

Industrial production growth slowed because of a softer rise in manufacturing activities at 4.9% compared to 7.3% in September and mining at 4.5% compared to 6.4% in the previous month, respectively.  

Retail sales growth eased to 2.9% in October from 3.0% in the previous month, the statistical agency said in a separate report. 

Sales declined for the fifth consecutive month amid weakening consumer sentiment and elevated youth unemployment.

Retail and food and beverage sales during the critical eight-day "Golden Week" period rose at a slower pace of 2.7% compared to 4.5% in the year before, the government data showed. 

The urban jobless rate eased to 5.1% in October from 5.2% in the previous month, but anecdotal evidence suggested an above-average jobless rate among young adults and recent graduates. 

Fixed-asset investment in the ten months to October decreased 1.7%, a wider decline compared to a 0.5% drop in the first nine months. 

The persistent weakness in the real estate market overshadowed overall investment data, and real estate investment fell by 14.7% in the ten-month period compared to 13.9% in the first nine months. 

Real estate projects outside of Shanghai and Beijing continued to languish amid a lack of demand and oversupply of residential properties. 

New home sales per floor area declined 6.8% in the ten-month period to October, compared to a 5.5% decrease in the nine-month period to September, according to NBS data. 

 

China Indexes and Stocks 

The Hang Seng Index decreased 0.8% to 26,794.09, and the mainland-focused CSI 300 index declined 0.7% to 4,669.01. 

Investors were on the back foot in China and Asia amid worries about stretched AI valuation and receding hopes of a U.S. rate cut following hawkish comments from policymakers. 

JD.com declined 5.1% to HK $117.40 after the e-commerce platform operator reported a 55% decline in profit in the September quarter. 

Tencent Holdings decreased 0.9% to HK $650.50 despite the parent company of WeChat reporting a 15% increase in revenue to 192.9 billion yen and a 19% rise in earnings to 63.1 billion yuan in the third quarter. 

The company said the chip shortage is curbing growth in its cloud services unit, and the company is planning to use its homegrown chip for AI and cloud applications.