The sluggish growth recorded in recent economic data, alongside downward pressure on the price of crude oil and ferrous metals, have added to the market’s anxiety about deflation, the Securities Daily reported.
Pan Xiangdong, chief economist of New Era Securities, believes that investors should be wary of deflation risks when the price of crude oil and ferrous metals are declining at the same time.
Regarding the slowdown of economic activities, infrastructure investment has become the main force to stabilize economic growth, said Gao Ruidong, an analyst at Guotai Junan Securities.
To aid economic development, the National Development and Reform Commission has accelerated the review and approval process of infrastructure projects.
The number of projects approved by the NDRC in the third quarter was 4.8 times more than that of the second quarter, and 2.6 times that of the first quarter.