FirstFT: China economy rebound beats expectations

China’s financial system expanded 4.5 per cent yr on yr within the first quarter, beating analyst expectations. Robust progress in exports and infrastructure funding in addition to a rebound in retail consumption and property costs drove the restoration on the planet’s second-largest financial system.

The primary-quarter progress charge was nonetheless wanting the federal government’s full-year goal of 5 per cent, however economists count on it to select up tempo because the yr progresses.

Xi, who formally launched into an unprecedented third time period as China’s president final month, is eager to revive financial progress and restore enterprise confidence broken by pandemic controls.

China’s rebound is essential to world financial progress this yr as developed nations grapple with excessive inflation, rising rates of interest and sluggish growth.

Here’s what else I can be holding tabs on at the moment:

• UK inflation: Client Value Index knowledge for March is about to be launched.

• Federal Reserve Beige Guide: The US central financial institution will launch its outlook on present financial circumstances.

• Earnings: Tesla, IBM, Morgan Stanley, Equifax, Simply Eat, L’Oréal and United Airways report earnings at the moment.

  FT subscribers can sign up to Inside Politics’ online event today, which can chart the street to the UK’s anticipated 2024 normal election and discover whether or not a victory for the Labour celebration is not assured.

5 extra high tales

1. Rupert Murdoch’s Fox Company has agreed to pay $787.5mn to settle a defamation case over US election fraud allegations broadcast by his information community, a lawyer for voting machine maker Dominion mentioned. The 2 events reached a last-minute settlement deal, simply earlier than a six-week trial was set to start. Read the full story.

2. The highest US navy commander within the Indo-Pacific informed Congress that the Chinese language risk to Taiwan had elevated, however declined to endorse different high navy officers who’ve advised timelines for a potential battle. “I think everybody is guessing,” Admiral John Aquilino mentioned.

3. Goldman Sachs’ first-quarter income slumped 18 per cent following a lacklustre efficiency at its fixed-income buying and selling unit. The outcomes underscore the difficult task facing chief executive David Solomon.

4. HSBC has “exaggerated” the “prices and dangers” of spinning off its Asian operations, based on Chinese language insurer Ping An, because the financial institution’s largest shareholder used a uncommon public assertion to put out the way it ought to separate the enterprise. The assertion marks the first time Ping An has publicly said how the bank should split off its Asia operations.

5. Evan Gershkovich has misplaced his enchantment in a Moscow court docket to be launched from pre-trial detention. The listening to for the Wall Avenue Journal reporter arrested in Russia on espionage expenses marked Gershkovich’s first public appearance since his arrest.

The deep dive

On one facet of the battle in Sudan is the president of Sudan’s navy authorities, who has the backing of Egypt and boasts highly effective floor and air forces. Opposing him is Sudan’s vice-president who oversees the paramilitary Fast Help Forces and has highly effective Gulf backers. The two men hold the fate of Sudan in their hands.

We’re additionally studying and listening to . . . 

• China-Vatican tensions: A deal between the Vatican and China over the church’s function within the communist state appears to be fraying.

• Step on the fuel: The slowdown in automotive gross sales in China has been significantly brutal for Japanese manufacturers. “There are clear indicators that [Toyota] is at a tipping point,” mentioned a Mizuho Financial institution senior analysis officer in Tokyo.

• 🎧 Behind the Cash: It’s time to hit the books with Behind the Cash: Evening Faculty. In our first episode, we have now a primer on US energy policy — one of many greatest financial tales of the yr.

Chart of the day

Tim Prepare dinner opened the primary Apple Retailer in India yesterday, because the iPhone maker stepped up its battle with Samsung over the rising luxurious smartphone market in Asia’s second-biggest financial system. Apple accounted for slightly below 5 per cent of complete handsets gross sales in India final yr.

Take a break from the information

This yr’s Worldwide Booker shortlist contains work by a few printed poets, a movie director and a former safety guard. Catch up on these acclaimed titles earlier than the winner is introduced subsequent month.

Further contributions by Gordon Smith and Tee Zhuo