East Asia Econ

East Asia Today

Both consumer sentiment and house price expectations in Korea were firm in November. That's significant, when consumer fiscal handouts are winding down, while macro-pru measures on housing have been stepped up. In Taiwan, the consumer mood is also improving, with retail sales rising in October.

Paul Cavey

Nov 25, 2025 • 2 min read

Subscribers Only

East Asia Today

That high-frequency upstream prices in China through mid-November are stable offers an important contrast with the weakness of FAI. In Taiwan, the labour market remains tight, with the unemployment rate staying at the lowest levels in over 20 years.

Subscribers Only

China – prices and demand deposits stable

The FAI data point to the economy hitting a wall. But price data don't bear that out. Indeed, upstream prices show the recent stability of PPI is likely persisting. That is also true for the demand:time deposit ratio. The cycle as a whole remains both weak and messy, but there are some green shoots.

Subscribers Only

Last week, next week

Japan is doing macro stimulus when the cycle really doesn't need it. China isn't doing any when the cycle still does. The first keeps the JPY weak. The second prevents the CNY from appreciating. Both in turn weigh on the KRW and TWD, despite substantial current account surpluses across the region.