Chinese inflationary pressures edged higher in October, according to new data from China’s National Bureau of Statistics on Wednesday.
Consumer price inflation (CPI) rose by 2.1% from a year earlier, in line with expectations but higher than September’s 1.9% pace.
It was the fastest annual increase since April.
The acceleration came despite a 0.1% decline for the month, below the flat reading expected. Food prices dropped by 2.8% over the month.
According to the NBS, food prices rose by 3.7% over the past year, up from 3.2% in September.
This came despite a continued deceleration in pork prices, which grew by 4.8% over the year, compared to 5.8% in September.
Non-food inflation increased by 1.7% from October 2015, the fastest acceleration in over a year.
Upstream price pressures also lifted with producer price inflation (PPI) accelerating to 1.2% from the levels of a year earlier.
It was above the 0.1% pace seen in the year to September, and was higher than the 0.8% rise expected.
It also marked the fastest year-on-year rise in PPI since December 2011.
The acceleration in both consumer and producer prices reflects a rebound in Chinese economic activity since the first quarter of the year, and, along with some enormous gains in house prices in some eastern cities, suggests that the odds of additional monetary and fiscal easing from policymakers is unlikely in the period ahead.
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