Credit Agricole's Kowalcyk Calls China Feb. PMI 'Very Reassuring'

The video discusses economic expectations, focusing on PMI data and its slight improvement over forecasts. It highlights the impact of seasonal adjustments, particularly around the Lunar New Year, on economic volatility. The discussion shifts to nominal GDP, noting its strong performance last year due to a robust GDP deflator and high PPI. Despite decelerating price pressures, nominal GDP is expected to grow, aiding corporate profitability and debt reduction. The video concludes with a focus on the restructuring of economic growth, emphasizing the increasing importance of consumption over investment and services over manufacturing.

What was the actual PMI figure compared to the expected one?

• 51.3 was expected, 51.6 was actual

• 50.0 was expected, 51.0 was actual

• 52.0 was expected, 51.5 was actual

• 51.5 was expected, 51.3 was actual

Why should one not be overly concerned about China's economic slowdown?

• There is no slowdown expected

• The economy is expected to collapse

• It is expected to be a sharp decline

• It will be a marginal slowdown

What is the significance of nominal GDP in the context of China's economy?

• It is irrelevant to corporate profitability

• It helps in reducing the debt to GDP ratio

• It is not related to economic growth

• It only affects the manufacturing sector

How has the structure of growth in China changed recently?

• Investment has become more important than consumption

• Consumption and services have become more significant

• Manufacturing has surpassed services in contribution

• There has been no change in the growth structure

What has been the trend in the contribution of services to China's growth?

• Services have remained constant

• Services have decreased in contribution

• Services have exceeded manufacturing in contribution

• Manufacturing has exceeded services in contribution