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China Factory Inflation Eases as Consumer Prices Remain Subdued

China’s bureau acceleration moderated as consumer cost gains remained tepid, serve shortening a intensity source of vigour for process makers to boost borrowing costs.

Key Points

  • The writer cost index rose 5.8 percent in Nov from a year earlier, relating a projection in a Bloomberg consult and negligence from 6.9 percent in October
  • The consumer cost index climbed 1.7 percent, a National Bureau of Statistics pronounced on Saturday, reduction than a median foresee of 1.8 percent

Big Picture

While this year’s swell in raw-materials prices will feed by to consumer products subsequent year, title bureau cost expansion is seen negligence amid aloft year-ago bottom comparisons and moderating investment demand. As tip leaders step adult pledges to safeguard financial fortitude amid soaring debt, economists contend assuage acceleration and an opinion for tame cost gains gives a authorities reduction means to pursue a extended tightening of borrowing costs.

Economist Takeaways

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