July's retail sales rose fastest in 9 years

China’s retail sales rose 23.3% year-on-year to US$126 billion last month, the fastest one-month pace in nine years, Bloomberg reported. The sales growth edged ahead of June’s 23% year-on-year growth. Household electronics sales rose 18.8%, almost twice June’s pace, as television sales spiked ahead of the Olympics. Also contributing to quickening retail sales is a 6.3% rise in urban disposable income in the first half of the year, after adjusting for inflation. Sales growth may slow in the fourth quarter, however, after the "Olympic effect" wanes, according to Moody’s Economy.com economist Sherman Chan.