Beige Book: Chinese Economy Healthier Than Data Suggests

China’s soft economic data belie the “broad-based recovery” that has taken place during the second quarter in world’s number two economy, the latest China Beige Book (CBB) report has claimed.

The quarterly private-sector survey, which resembles the U.S. Federal Reserve’s Beige Book, found that China’s pickup in the second quarter was largely driven by a resurgence in the retail and real estate sectors.

“The second quarter of 2015 was plainly better than the first,” the CBB said. “Overall, firms continue to do better than official data—and its legions of sell-side users—might suggest. Cash flow remains stable, volumes are increasing, and margins saw a minor uptick. Capex and borrowing both stabilized this quarter, while the jobs market continues to show resiliency,” the report added.