China Beige Book Shows 2Q Rebound

The transcript discusses a survey by CBB International, highlighting a positive outlook for China's economy, particularly in the services sector. It notes a transition from traditional industries like coal and steel, which face overcapacity issues, to more sustainable sectors. The report also warns of potential challenges from Brexit affecting export-oriented industries.

What does the CBB International survey indicate about the Chinese economy in the second quarter?

• A sharp pickup in economic activity

• A decline in corporate profits

• Stagnation in the services sector

• A decrease in CapEx

Which sector is highlighted as having a significant pickup in the second quarter?

• Agriculture

• Technology

• Manufacturing

• Construction

What is a major concern for the traditional industries in China?

• Decreasing domestic demand

• Overcapacity in coal and steel

• High export tariffs

• Lack of skilled labor

How does the services sector compare to traditional industries in terms of new hiring?

• It is on par with traditional industries

• It lags behind traditional industries

• It far outpaces traditional industries

• It has no significant impact

What external factor is mentioned as a risk to China's export-oriented industries?

• Rising oil prices

• The COVID-19 pandemic

• Brexit

• The US-China trade war