Inflation Measures Fall in China; PPI Below Consensus
January 12, 2012
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China Economic Update: CPI and PPI
The Chinese CPI (Consumer Price Index) rose by +4.1% on a year-over-year basis in December. This was slightly ahead of the consensus estimate for a reading of +4.0% but below November’s annualized reading of +4.2%.
China’s PPI (Producer Price Index) grew by +1.7% over the past year, which was below the consensus expectation for a rate of +1.8% and last month’s reading of +2.7%
Analysts suggest that the trend of falling inflation numbers, along with recent weak import/export data may pave the way for monetary easing going forward.
iShares Xinhua China 25 - Last 12 Months
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