11 thats even as high frequency readings suggest hotel vacancies are back to january levels and domestic air travel is at 90 of where it was at the start of the year according to morgan stanley chinese consumers seem to be taking a longer time to come back to normal spending compared to their counterparts in the us and europe said helen qiao chief greater china economist at bank of america with the virus under control consumers should benefit from a safer public health environment qiao told bloomberg televisionnews of scattered outbreaks much smaller than the original crisis in wuhan may be keeping willingness to spend in restaurants and for entertainment low even though the direct effect from measures implemented to deal with them is minimal local outbreaks in the northeastern liaoning province and in xinjiang in recent weeks followed a beijing flareup in june another explainer would be that the unemployment rate is in fact much higher than the official july surveyed jobless rate of 57 that gauge leaves out perhaps half of the workforce including those laboring away from their place of residency registrationthe graduate job market is also weak with a report by zhaopincom one of chinas biggest recruiting websites showing that over a quarter of graduates it has registered were still looking for a job in june add declining incomes to higher food prices and its clear that household spending power is under pressurechinas recovery threatened by surging prices stagnant wagesthe employment target has become the top priority according to liu peiqian a china economist at natwest markets in singaporethe pace of chinas rebound from here will also depend on containment of the coronavirus both at home and in major trading partners such as the us and europe that are driving demand for chinese goodsand as the us presidential election nears chances of further geopolitical stress between beijing and washington cant be ruled out on friday trump ordered the chinese owner of the popular music video app tiktok to sell its us assets ratcheting up the pressure furtherif the recovery does slide theres still plenty of fiscal and monetary firepower to fight it the central bank has so far steered clear of major interest rate cuts and bond buying programs and instead has funneled money to smaller and mediumsized companieswhat bloombergs economists saychinas outlook faces considerable uncertainty from both domestic and external demands fridays weakerthanexpected data has increased the odds of a rate cut by the peoples bank of china in the coming months even though the central bank has lately sent signals on policy normalization bloomberg published on aug 16 2020 at 1035 am ist telegram facebook copy link be the first one to comment comment now comments comment now read comment 1 all comments post post find this comment offensive choose your reason below and click on the submit button this will alert our moderators to take actions reasons for reporting foul language defamatory inciting hatred against a certain community out of context