Wednesday, December 7, 2022

China’s inflation fails to perk up amid sluggish demand By Reuters


© Reuters. customer wearing a face mask pays for pork as a vendor chops pork meat inside the Yuegezhuang wholesale market, following new cases of coronavirus disease (COVID-19) infections in Beijing

BEIJING (Reuters) – China’s factory-gate prices declined at a sharper-than-expected pace in October and consumer inflation eased to its slowest since 2009, highlighting continued economic challenges as COVID-19 saps demand.

The producer price index (PPI) fell 2.1% from a year earlier, the National Bureau of Statistics said in a statement, compared with a 2.1% drop in September and a 2.0% decline tipped by the median forecast from a Reuters survey of analysts.

On a monthly basis, producer inflation slowed to zero, compared with a 0.1% increase the previous month.

The weak inflation data contrasts with faster-than-expected growth in exports and manufacturing activity, which were seen as signs of a sustained recovery in China’s industrial sector.

China’s gross domestic product growth accelerated to 4.9% form a year earlier during the third quarter. Analysts expect China’s economy to post a small gain for all of 2020 and then expand at a more robust pace in 2021, partly on hopes that COVID-19 vaccines will become widely available globally.

The bureau said in a separate statement that the consumer price index rose 0.5% from a year earlier, the slowest since October 2009, and compared with a 0.8% rise tipped by the Reuters poll and a 1.7% rise in September.

Pork prices fell 2.8% year-on-year in October, marking the first decline after 19 months of sharp increases due to supply constraints.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link


Please enter your comment!
Please enter your name here



Related Stories