robin xing. managing director and chief china economist at morgan stanley.ttle bit more pessimistic than consensus. why? >> well, i think when we are meeting forecasts, either gdp or pmi and china, what we need to bear in mind is they have a major regulatory reset -- had a major regulatory reset late last year. we are seeing the housing downturn. it is part of this reset to tackle deleveraging, decarbonization, and rate distribution -- and redistribution. this power crunch, which means production cuts in order to comply with the energy-saving targets, causes slower housing activity. and pressure for some property developers. there will not be a significant drag on growth. but there will be some offsetting from the pboc and the ministry of finance. tennis pmi will fall to 40.5 in september and in third quarter it is tracking a 4.5% year-over-year, which is also weaker than most people expected. shery: you mentioned the pboc, this chart shows the pboc toolkit. what are you expecting them to use, in order to help the economy? >> i think we are at the inflection

joining us now is robin xing. good afternoon and thank you for joining us. in beijing. it's great to get your insights on the data that comes out of china. you are on the ground and you have a feel for this. you speak to regulators and businesses. what stood out to you from this data set. robin: thank you for having me here. the bottom line here is china's growth slowed. the approach came with a price. it was a blessing last year for china's recovery. the downside of this approach became more and more obvious. it capped consumer activity recovery. china's retail sales are tracking around 2% growth. due to the irregular suspension with the lockdown measures in the resurgence of delta variant. this combined with the ongoing tightening and things like financial conditions for the housing sector has led to a difficult road to recovery. third-quarter gdp is tracking at 4.7% year-over-year, below policymaker expectations. manus: good morning to you. this scale of the miss, this is a three standard aviation miss on the retail sales. in your mind, what is the near t