China’s inflation edges up in October, but pressure remains despite monetary easing
Consumer prices in China nudged higher in October, while the cost of goods at the factory gate fell for the 25th month in a row
Consumer prices in China edged higher in October but the rise was slower than expected despite Beijing’s recent monetary policy easing, prolonging over a year of economic weakness.
The reading fell short of the expected 0.42 per cent growth projected by economists polled by Chinese financial data provider Wind and was the slowest growth in four months.
China’s CPI growth has remained around zero since March last year, raising market concerns about deflationary pressure and sluggish demand.
The October data came a day after China’s top legislative body unveiled a sweeping plan to lift local government debt and pledged more policies to boost spending.
Meanwhile, China’s producer price index (PPI) – which measures the cost of goods at the factory gate – slipped by 2.9 per cent in October, falling for the 25th consecutive month, after a decline of 2.8 per cent in September.
