China's Industrial Profits Extend Slump For January-August, Pace Of Downturn Eases  

• Profits at China's industrial firms extended a double-digit drop for the first eight months, but the pace of declines eased slightly as a flurry of policy support steps has started to stabilise parts of the stuttering economy.
• The 11.7% year-on-year fall in profits narrowed from a 15.5% contraction for the first seven months. This outcome is in line with expectations and potentially suggests a modest recovery is beginning to take root for some businesses.  "This data reflected that domestic demand has stabilised and the demand and supply side has seen balanced recovery," said Bruce Pang, chief economist at Jones Lang Lasalle.
• NBS statistician Yu Weining said in an accompanying statement that "a series of policies to promote macroeconomic recovery" last month's underpinned earnings. Profits improved for 30 of 41 major industrial sectors during the period, with the losses in the raw material manufacturing industry narrowing significantly on rising commodity prices and recovered demand. Twenty-eight industries out of the 41 saw earnings dropping in the January-July period.

(Source: Reuters)