Chinese housing prices dip for fifth straight month

43 out of 70 Chinese cities monitored saw their housing prices decline in May, causing an 0.11% aggregrate drop m-o-m.

On a y-o-y basis, this disappointing May performance translates to a 2.0% contraction in nationwide housing prices, as property developers slashed prices further to boost flagging sales.

Here's more from BBVA:

According to the latest statistics, the prices of new housing in China fell sequentially in May in 43 out of 70 cities, while staying unchanged in 21. Our calculations show that China’s nation-wide housing prices further contracted by 2.0% y/y, the fifth consecutive decline this year. On a sequential basis, prices edged down by a smaller margin (0.11% m/m). Housing prices have declined a total of 1.76% since July 2011. Some property developers have recently cut prices in order to prop up sales, resulting in the falling trend in prices with trading volumes picking up. We expect the government's tightening policy stance on the real estate sector to remain for the time being.