China's economic momentum slowed broadly in July, weighed down by muted consumer spending and slumping investment, according to official data released Monday.

The numbers

   -- Retail sales: Up 0.6% in July from the same month a year ago, slowing 
      from 1% year-over-year growth in June. 
 
   -- Fixed-asset investment: This broad measure of investment in factories, 
      machinery and other assets fell 6.7% in the January-to-July period 
      compared with the same period in 2025. 
 
   -- Property investment: Down 19% year over year, highlighting the extreme 
      weakness in China's property market. 
 
   -- Urban unemployment rate: 5.2% in July, up from 5% in June. 

The context

China has been experiencing a two-speed economy. The country's technological prowess is growing, as evidenced by cutting-edge artificial-intelligence models that have rattled Silicon Valley. And exports are soaring: Outbound shipments jumped 24% in July from a year prior, according to official customs data released earlier this month.

Meanwhile, the domestic economy continues to struggle with a yearslong property market downturn, muted household spending and a contraction in investment. In the second quarter, China's gross domestic product grew 4.3%, the slowest year-over-year pace since 2022.

AI-related business has been a big boost. Shipments of semiconductors and computing equipment added more than 10 percentage points to China's overall export growth in July, the biggest contribution since at least 2002, according to Capital Economics analysis. Electronics manufacturing and the information-technology and telecommunications services sector drove about a third of China's economic growth in the second quarter, Capital Economics estimates.