Beijing — China’s strong economic growth showed visible signs of fading in July as lending costs rose and the gravity-defying property market cooled, although activity levels generally remained solid, propped up by a year-long construction spree. Industrial output, investment, retail sales and trade all grew less than expected in July, after the world’s second-largest economy put in a surprisingly strong showing in the first half, adding fuel to a global recovery. But economists do not expect any hard landing, with the government keen to ensure stability ahead of a once-in-five-years Communist Party leadership reshuffle in the northern autumn. "The upshot is that both foreign and domestic demand appear to have softened at the start of the third quarter," said Julian Evans-Pritchard, China economist at Capital Economics. "A few sectors, such as steel, seem to have defied this slowdown in economic activity. But the strength in these areas [probably] won’t last given that policy tighte...
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