Fitch downgraded its GDP growth forecast for China to 4.3% from 4.5%, citing the impact of increased US tariffs and weaker global demand. Fitch also revised China’s 2026 GDP forecast down to 4% from 4.3%. The ratings agency noted that fiscal and monetary policy support, alongside exchange-rate depreciation, would partially offset the tariff impact for China. However, the ongoing weakness in the property market remains a risk. US inflation risks are rising due to stronger-than-expected consumer spending, upcoming tariff hikes, and a slowdown in net immigration.