CPI slows to a 3-month low in November
China’s November Consumer Price Index eased to a threemonth low of 3 percent year-onyear from 3.2 percent in October, the National Bureau of Statistics (NBS) said.
Analysts said that the continuing deflation of factory-product prices should raise more concerns than the receding consumer inflation.
The Producer Price Index contracted 1.4 percent in November from a decrease of 1.5 percent in October. The index has remained in negative territory for 21 consecutive months.
The long-term PPI deflation indicates serious problems of industrial overcapacity and weak market demand, which may deeply influence the development of the real economy, said Lu Fengyong, a researcher at the National Academy of Economic Strategy at the Chinese Academy of Social Sciences, a government think tank. (Photo 3)