China’s Economic Growth Disappoints, Fueling Stimulus Calls

China is still contending with major challenges from deflation pressures and the property crisis as the year kicks off, with investors underwhelmed so far by policies to keep economic momentum going.

Data released Wednesday presented a mixed bag for the world’s second-largest economy, which hit an official growth target for the year but has failed to shake off several of the problems most persistently weighing on domestic demand and confidence. A slew of indicators for home prices and property-related spending disappointed, while deflation remains stubborn. A measure of broad price changes recorded its longest stretch of quarterly declines since the wake of the Asian Financial Crisis in 1999.