China’s CPI accelerates, PPI also beats expectations
Consumer Price Index up 1.9% on-year, while producer prices were up 6.9% on -year
China’s consumer inflation rate accelerated to 1.9% in October from a year earlier, beating market expectations, the National Bureau of Statistics (NBS) said on Thursday.
The consumer price index (CPI) had been expected to rise 1.8% on-year compared with an increase of 1.6% in September.
Producer prices rose 6.9% on-year, unchanged from the previous month’s increase.
Analysts had predicted the PPI would rise 6.6%.
China’s economy recorded better-than-expected growth of nearly 6.9% through the first nine months of this year, buoyed largely by a recovery in its manufacturing and industrial sectors thanks to strong government infrastructure spending and unexpectedly strong exports.
But property and construction activity, two of the economy’s main growth drivers, are starting to slow under the weight of government measures to cool heated housing prices and higher borrowing costs.