China CPI inflation rose to 2.0% yoy in November
9 December, 2012, 22:49. Posted by Zarathustra
China’s CPI inflation increased slightly in November.
Headline CPI inflation rose to 2.0% yoy from 1.7% yoy in October, slightly lower than consensus estimate of 2.1% yoy. On a month-on-month basis, CPI increased by 0.1% compared to the previous month, up from -0.1% in October.
Looking into different components, inflationary pressure remains minimal for non-food items, which rose 1.6% yoy, or flat on a month-on-month basis, while food prices rose 3.0% yoy, or 0.1% on a month-on-month basis.
Meanwhile, producer price index (PPI) fell 2.2% yoy in November, lower than consensus estimate of -2.0% yoy. On a month-on-month basis, PPI fell 0.1%, down from +0.2% rise in October.
Source: NBS
These are consistent with our view that there should be very little inflationary pressure in non-food items after years of over-investment in productive capacity, while food prices inflation remain relatively stable for the moment.
For more news and analysis, visit Also sprach Analyst. Follow us on Twitter and Facebook.
Get our daily email update FOR FREE!
About Zarathustra
Zarathustra: Founder and Managing Editor of Also sprach Analyst. Once an analyst, now an investor and entrepreneur. Based in Hong Kong, but Londoner at heart.