China’s July PPI +4.2% y/y, CPI +2.7% y/y
2022.08.10 04:53
FILE PHOTO: A worker walks past steel rolls at the Chongqing Iron and Steel plant in Changshou, Chongqing, China August 6, 2018. REUTERS/Damir Sagolj/File Photo
BEIJING (Reuters) – China’s factory-gate inflation eased to its lowest since February 2021, as raw material prices fell due to already slower construction activity, while consumer prices rose gently, bucking the sharp increases seen elsewhere.
The producer price index (PPI) rose 4.2% year-on-year, the National Bureau of Statistics (NBS) said on Wednesday, after a 6.1% uptick in June. Analysts had expected an increase in the PPI of 4.8% in a Reuters poll.
The consumer price index (CPI) increased 2.7% from a year earlier, after a 2.5% gain in June. In a Reuters poll of economists, consumer inflation was seen at 2.9% in July.
The world’s second-biggest economy has shown some signs of slowdown and narrowly escaped a contraction in the second quarter, weighed by strict COVID-19 controls, a distressed property market and cautious consumer sentiment.
