Growth of China's PPI and CPI Slowed Last Month
The Chinese government has released its inflation reports. According to data published by the National Statistics Bureau, China's factory prices rose in November at their slowest pace since October 2016 amid weak domestic demand and consumer inflation eased due to lower food prices.
China's consumer price index (CPI) increased 2.2% yoy in November, slowing from 2.5% gain seen in October. The indicator was also below expectations of 2.4% growth. Meanwhile, the government's full-year target for consumer price inflation is 3%.
On a monthly basis, the China’s consumer price inflation fell by 0.3%. The core consumer price index, which strips out volatile food and energy prices, rose 1.8% in November.
The China’s producer price index (PPI), a measure of the prices businesses receive for their goods and services, rose 2.7% yoy in November, compared with a 3.3% gain in October. The indicator was in a line with economists’ forecasts. On a monthly basis, the PPI fell by 0.2%, down from a 0.4% gain in October.
It was also reported, that prices for raw materials increased 4.6% yoy in November, down from a 6.7% rise in October. The food price index rose 2.5% yoy in November, slowing from 3.3% gain in October. Non-food prices rose 2.1%, compared with 2.4% growth in October.