Improving profits may help soften the blow

Huge impact: People walk in the main shopping area in Shanghai. With the Chinese consumer loosening the purse strings, the likes of JD.com Inc, Alibaba Group Holding Ltd and Tencent Holdings Ltd are reporting consensus-beating results. — Reuters

BEIJING: China Inc’s outlook has brightened after a campaign to revive consumption delivered a strong earnings season, one that may offer local stocks a much-needed cushion as they brace for US tariffs.

Fourth quarter earnings reported by members of the MSCI China Index beat estimates by 5.1% on a weighted average basis, up from 1.8% in the prior quarter, according to data compiled by Bloomberg Intelligence.