Global ratings agency Fitch on Monday affirmed China's long-term sovereign rating at "A" with a stable outlook, citing its large and diversified economy, which supports prospects for solid GDP growth and the country's important role in global trade. China, which faced high US tariff uncertainty last year, should see some relaxation after US President Donald Trump's visit, Fitch said, even as it warned of weak household confidence weighing on goods consumption. Data from last month showed China's official manufacturing purchasing managers' index dropping to 50 from 50.3 in April, its lowest reading in three months as demand weakened. A level below 50 typically signals contraction. "The energy price shock may pose a challenge, but large crude oil inventories, substantial refining capacity and diversified energy sources should cushion risks," the ratings agency said.
