According to some international observers, the Lunar New Year sales indicate a plunge in Chinese consumption. Economic realities tell a different story.
Chinese Lunar New Year can be seen as a barometer for Chinese private consumption, due to gift-giving and family reunions. Consequently, both holiday data and its international coverage are of great interest.
Here's the bottom line: During the Lunar New Year holiday in early February, Chinese retail and catering businesses generated a record over 1 trillion yuan ($148 billion). Sales by retail businesses rose 8.5% from a year earlier.
Here's how the data