Dow Jones Newswires: China’s economy slows unexpectedly as rebound sputters

United States

China’s economic growth unexpectedly slowed in July after a blip of accelerated recovery in June, official data showed on Monday.

Industrial production rose 3.8% from a year earlier, down slightly from the 3.9% increase in June, according to data released by the National Bureau of Statistics. That fell short of the 4.5% growth expected by economists polled by The Wall Street Journal.

Retail sales, a key metric for consumption, grew 2.7% from a year earlier in July, lower than June’s 3.1% expansion and the 5% increase expected by the surveyed economists.

China’s fixed-asset investment rose 5.7% in the January-July period from the year-earlier period. That is slower from the 6.1% pace recorded in the first half of the year and also lower than the 6.2% growth expected by the economists.

China’s central bank lowered two key policy rates earlier on Monday, just ahead of the release of major economic indicators.