China's 4.5% GDP Beat Sparks Global Risk Rally

China's gross domestic product expanded 4.5% in the third quarter of 2026, slightly ahead of economist forecasts, according to data released this week. Industrial output and retail sales also beat forecasts in September, reinforcing the view that the world's second-largest economy is holding up better than feared. The Financial Times noted the growth was driven mainly by strong exports, while domestic demand continued to lag. The reaction in markets was immediate. Bitcoin, Nasdaq futures and South Korea's Kospi all rallied, with falling oil prices adding further fuel to the risk-on move. The combination of a China growth beat and cheaper crude gave investors a reason to add risk after a stretch of nervousness tied to chip-sector weakness in Asia. The soft spot in the data is property. China's new home prices fell again in September, and the Financial Times and other outlets flagged that the recovery in the housing market remains elusive despite the broader growth surprise. That divergence — a GDP beat alongside a housing market still contracting — leaves open the question of how durable the rally in risk assets will prove if construction and household demand don't follow exports higher.