With the exception of China, which is trying to get back on its feet after the recent lockdown, all countries are experiencing significant declines in exports. In China, however, the real estate market is worrying even as industrial activity appears to be picking up. Construction companies are in crisis as the halt in construction programs has led to a veritable strike by first-time homebuyers who are now refusing to pay their mortgage payments. In this tense context, sentiment among Chinese consumers is falling at an unprecedented rate and even worse than during the last financial crisis.
China's political rulers will need massive action to turn the tide again by the end of this year. In Europe, consumer confidence is also falling at a record pace, and the recession is likely to have already begun, with the first data on industrial activity confirming the economic slowdown. The number of car registrations fell across the continent and is 15.4% lower than the previous year (-18% in Germany).