China growth slows; South Korean won lifted by bailout
South Korea’s $130 billion financial bailout gave its embattled currency a lift on Monday but did not dispel wider concerns about a global economic downturn as China reported single-digit growth for the first time in four years and Dutch bank ING sought government funds.
China’s gross domestic product rose much more slowly than expected in the third quarter, raising uncertainties about the world’s main source of economic growth.
Stocks in Asia moved higher as investors sought bargains after the sharp sell-down of recent weeks, but markets remain largely unconvinced that $3.3 trillion in government pledges globally is enough to resolve the worst financial crisis in decades.
Bank of Japan Governor Masaaki Shirakawa said that the growth in the world’s second-biggest economy is highly likely to remain sluggish as countries elsewhere stutter cash advance loan no fax.
“Tensions are heightening in global financial markets and downside risks exist for the world economy,” he said in a speech.
China reported that its economy — the world’s fourth-biggest — grew 9 percent in the third quarter from a year earlier, well below forecasts of 9.7 percent.
That compared with 10.1 percent in the second quarter, and marked the first time expansion had slipped into single digits in at least four years. Industrial output dropped to a six-year low.
“It’s very obvious now that economic growth is slowing quickly, although some indicators such as exports are holding up due to lagging effects,” said Zhang Fan, analyst with Tebon Securities in Shanghai.
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