Profits of China’s industrial corporations jumped the most in three years, adding to evidence of continued stabilization in manufacturing and boosting prospects for their ability to repay debt. Bloomberg reports industrial profits rose 19.5% in August from a year earlier to 534.8 billion yuan ($80.2 billion), the National Bureau of Statistics said Tuesday. That completes August data that showed new credit, industrial output, fixed-asset investment and retail sales picked up and beat analysts’ estimates. Meantime, private indicators show upbeat sentiment in business confidence and increased factory activity continued in September. Economists have raised their forecasts for 2016 gross domestic product growth on increasing evidence the government’s fiscal support has helped successfully underpin the economy. They’ve also ratcheted back expectations for additional monetary stimulus.
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