China’s economy slowed in the second quarter even as it topped market forecast in a show of resilience against U.S. tariffs, though analysts warn of underlying weakness and rising risks that will ramp up pressure on Beijing to roll out more stimulus.

Following the release of China's first-half economic data, major foreign financial institutions, including UBS, Morgan Stanley, Goldman Sachs, and Nomura, have revised up their 2025 full-year GDP growth forecasts for China,

S&P 500 EPS growth is expected to come in at 4.8% for Q2, which would be the lowest growth rate since Q4 2023.

China's economy is likely to have cooled in the second quarter after a solid start to the year, as trade tensions and a prolonged property downturn drag on demand, raising pressure on policymakers to roll out additional stimulus to underpin growth.