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China new house prices pick up pace in February

The cost of new housing in China's major cities rose more quickly in February, providing a positive data point on domestic demand amid a recent slew of mixed readings on the country's economy.

Prices for new housing across 70 large cities rose 10.4 per cent year on year in January, according to a weighted average compiled by Reuters. That marked the equal-quickest gain in 21 months. Every city saw average home prices rise compared to a year ago except Xiamen, where they stood unchanged after falling in January.

The latest reading marks a nine-month run of quickening price gains across major cities. That is good news for top officials gathering in Beijing this week for the National People's Congress, as China’s property sector is estimated to account for 15 per cent of the country's gross domestic product, or closer to 30 per cent if related industries are included.

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