China's industrial deflation got worse in May - MarketWatch

thekflow.blogspot.com

BEIJING--China's factory-gate prices fell deeper into deflation in May amid weakening demand, while consumer inflation eased further due to softening food prices.

The producer price index dropped 3.7% in May from a year earlier, extending a 3.1% decline in April, the National Bureau of Statistics said Wednesday. Economists polled earlier by The Wall Street Journal had expected the industrial price gauge to drop 3.2%.

The decline in PPI was the steepest drop in more than four years, as prices of commodities and other industrial products softened amid the coronavirus pandemic. The steeper deflation in factory-gate prices will likely weigh on Chinese factories' profitability, which showed improvement in April due to business resumption in China.

China's consumer inflation continued to moderate in May, with the consumer-price index rising 2.4% from a year earlier, compared with a 3.3% increase in April. The increase in CPI was the slowest in 14 months. Economists polled by The Wall Street Journal had expected a 2.6% increase.

Food prices rose 10.6% last month, retreating from a 14.8% increase in April, while nonfood prices increased 0.4%, the same as in April.

Pork-price inflation in China continued to ease in May. Pork prices climbed 81.7%, slowing from a 96.9% increase in April. Pork prices boosted headline CPI by around 1.98 percentage points.

Let's block ads! (Why?)

"may" - Google News
June 10, 2020 at 09:53AM
https://ift.tt/30DPVzZ

China's industrial deflation got worse in May - MarketWatch
"may" - Google News
https://ift.tt/3foH8qu
https://ift.tt/2zNW3tO

Bagikan Berita Ini