China New-Home Inventory Digest Period Rises in Q4: Report

The notable signal here is the divergence between falling inventory and a lengthening absorption period: destocking is happening, but demand is thinning faster than supply, which points to a slower-clearing market rather than a tightening one. That distinction matters for developers carrying unsold stock and for anyone reading headline inventory declines as recovery. The projected Q4 rebound in both supply and transactions is the pivot to watch — whether transactions keep pace with returning supply will determine if the absorption period stabilizes or extends further.