The world’s leading chief financial officers struck a more positive tone for China’s economic outlook than that for the United States, the first time in the history of the corps of executives, the Q3 CNBC Global CFO Council Survey has showed.
In the survey, global CFOs viewed China’s GDP as “Stable,” compared with “Modestly Declining” for that of the United States. They upgraded the rest of Asia and the Eurozone from “Modestly Declining” in the second quarter to “Stable” in the third quarter and Latin America from “Strongly Declining” to “Modestly Declining.”
But the U.S. economy was seen as “Modestly Declining” for the second consecutive quarter, showed the survey.
In the second quarter, China’s gross domestic product expanded by 3.2 percent year on year, reversing a 6.8-percent contraction in the previous quarter. China’s fiscal revenue marked the first expansion this year by gaining 3.2 percent year on year in June, while the contraction of the retail sector declined markedly.
The U.S. economy suffered its worst period ever in the second quarter, with GDP falling a historic 32.9 percent, according to the Commerce Department’s first reading on the data.
“China’s bounceback comes as the country deals with the double-whammy of the pandemic and heightened tensions with the United States over trade, technology and geopolitics. It has been spurred by ramped up government stimulus to combat the coronavirus-led downturn,” said the survey.