China’s new home prices hit fastest growth in almost two years in June
China‘s new home prices accelerated to their fastest pace in almost two years in June, with buyer demand in bigger cities resilient in the face of fresh curbs against speculation, a sign more restrictions may be needed.
Average new home prices in China’s 70 major cities rose 1 % in June from a month earlier, higher than the previous month’s reading of 0.7 %, according to Reuters calculations based on an official survey on Tuesday.
The monthly growth was the highest since October 2016 and marks 38 straight months of price gains.
The surprising resilience has highlighted market loopholes that allow buyers to skirt existing restrictions in certain cities.
It also presents a challenge for policymakers seeking to contain risks in a relatively strong part of the economy as the worsening U.S.-China trade war clouds the outlook for other sectors.