China home prices rise 7.9pc y/y in July

BEIJING: Average new home prices in China's 70 major cities rose 7.9 percent in July from a year earlier, an official survey showed on Thursday.

That compared with a 7.3 percent increase in June.

Home prices in Shenzhen and Xiamen had the biggest surge, rising 40.9 percent and 39.2 percent, respectively, from a year ago.

The booming property market has been a key driver of China's economic growth in the first half of the year as weak demand at home and abroad continue to take a toll on trade and investment.

But concerns are growing that the property rebound may be coming to an end as local governments tighten restrictions on home purchases to cool sharp price rises, which are sparking fears of asset bubbles.