China’s economic activity in January-February showed resilience, with factory output and retail sales surpassing expectations, signaling a promising start to 2024 despite ongoing weaknesses in the property sector. Industrial output surged by 7%, surpassing analysts’ forecasts, while retail sales grew 5.5%, supported by increased travel during the Chinese New Year holiday. However, concerns linger over the property market’s downturn, with declines in property investment and sales persisting. Structural challenges, including job market fluctuations and the need for economic transformation towards household consumption, remain pivotal for China’s long-term economic outlook.