Barclays in yesterday's GDP data from China:

  • Stronger-than-expected
  • We raise our 2017-18 full-year forecasts by 20bp, to 6.7% and 6.3% respectively

Upward revisions reflect

  • Better-than-expected growth in industrial output
  • Sustained higher commodity prices have supported industrial profits
  • Together with strong demand, this has driven inventory restocking
  • Strong global PMIs
  • Strong trade activity
  • Better external demand amid a synchronised global recovery
  • Domestic fixed asset investment and consumption have also surprised to the upside

Further:

  • The March activity data points to a further and across-the-board improvement in economic activity

On macro policy ... fiscal:

  • Maintain our view that the government will pursue a more proactive fiscal policy
  • We believe the government has room and the resources to mobilise (quasi) fiscal measures, including policy banks, PPP projects, and infrastructure to support growth.

... monetary:

  • A tightening bias will remain under the "prudent and neutral" monetary policy in 2017
  • We think more hikes in some policy rates (OMO, SLF, MLF) might happen in the coming months to reduce to financial risks
  • Against the backdrop of sustained growth recovery and tightened Fed policy
  • However, we believe significant monetary tightening, in the form of benchmark interest rate hikes, remains unlikely given our full-year inflation forecast of 2.5% with risks to the downside due to larger-than-expected declines in food prices.

(bolding mine)