China skips giving update on surging youth unemployment as economic slump deepens

abcnews.go.com:

China’s government has skipped giving an update on a politically sensitive spike in unemployment among young people as official data showed an economic slump deepened in July

BEIJING — China’s government skipped giving an update on a politically sensitive spike in unemployment among young people as official data Tuesday showed an economic slump deepened in July.

Meanwhile, the central bank unexpectedly cut a key interest rate in a sign of growing official urgency about shoring up economic growth that fell sharply in the three months ending in June.

Youth unemployment is sensitive after a survey in June found a record 21.3% of potential urban workers aged 16 to 24 couldn’t find work after an economic rebound following the end of anti-virus controls fizzled out.

Publication of unemployment by age group is suspended while the National Bureau of Statistics considers how it measures data, according to a bureau spokesperson, Fu Linghui. Fu said a survey found overall unemployment among urban workers was 5.3%, up 0.1 percentage points from June.

“The employment situation is generally stable,” Fu said at a news conference.

Growth in consumer spending decelerated to 2.5% over a year earlier in July from the previous month’s 3.1%, according to Fu.

Growth in factory output slowed to 3.7% from 4.4%, according to Tuesday's data, as export demand plunged after U.S. and European central banks raised interest rates to cool inflation. Investment in factories, real estate and other fixed assets rose 3.8%, down from June’s 3.4%.

“A decision to discontinue the youth unemployment figures just after they hit a record high doesn’t inspire confidence,” said Capital Economics in a report.

The People's Bank of China cut the interest rate on a