China’s economic landscape continues to grapple with subdued inflation figures, despite recent attempts at stimulation. Data released by the National Bureau of Statistics on Monday showed a deceleration in consumer prices, with the consumer price index (CPI) registering a meager 0.2% rise for November year-on-year. This marks a slowdown from October’s 0.3% increase and falls short of the 0.5% growth predicted by economists in a Reuters survey.
November’s CPI saw a remarkable 0.6% decline on a monthly basis, contrasting with October’s 0.3% drop and the forecasted 0.4% reduction, signaling weakened consumer demand even in the face of policy tweaks intended to buttress the economy.
At the same time, the producer price index (PPI) experienced a year-on-year decline of 2.5% for November. While this indicates an easing from the 2.9% fall observed in October, it exceeds the anticipated 2.8% drop, underscoring ongoing deflationary pressures in the industrial sector.
The latest price metrics paint a complex picture for China’s economy, as efforts to bolster growth face headwinds from sluggish consumer spending and persistent weakness in factory prices, challenging the efficacy of the government’s economic support measures.
