Real economic growth in China accelerated in 2017 to +6.9% y/y, up from +6.7% y/y in 2016. Yet some short-term indicators point to slower growth this year. GDP rose by +1.6% q/q in Q4 2017, down from +1.8% q/q in Q3. Monthly data confirms this with weaker investment growth and retail sales in December 2017. We expect real economic growth to decelerate to +6.4% y/y in 2018.