China’s falling factory prices ease on maintained recovery
August had seen China’s factory gate prices dropping at their most gradual pace in five months. This could be attributed to the sustained recovery in the world’s second-biggest economy, with its industries emerging steadily from the coronavirus drag.
The country’s producer price index (PPI) recorded a 2.0% decline in August, the National Bureau of Statistics said on Wednesday. The figure came milder than the 2.4% decline seen in July. Moreover, the consumer price index (CPI) jumped 2.4% in August from a year ago. The reading came slower than the 2.7% jump monitored the previous month.
While annual producer prices declined for seven consecutive months, the drop was seen at a relatively slower pace. Consumer prices grew minimally as pork price inflation plunged. Meanwhile, core consumer prices advanced month-on-month for the first time since the pandemic ravaged the country in January.