We recently learned how Chinese inflation for October blew away forecasts, coming in at 4.4% vs. 4% expected. Chinese officials have also said that inflation for the full year is likely to come in above the government’s 3% target.
Yet this graphic from China Daily puts things nicely in perspective. It’s not just that Chinese inflation was higher than expected in October, it’s also that inflation in accelerating, rising from 2.9% in June to 4.4% most recently.
Nobody in China wants to extend this trend: