Investing.com - Consumer prices in China rose 0.5% in January month-on-month, matching expectations and at the same level as the previous month.
For a year-on-year basis, consumer prices gained 1.8%, below the 1.9% gain expected, and compared to 1.6% from the previous month.
"The pick-up in inflation last month (annual) is mostly seasonal. That said, underlying price pressures also appear to be rising which ought to help ease any lingering concerns over deflation," Capital Economics said in a note to clients.
"The key driver was a seasonal jump in food price inflation, from 2.3% y/y to 4.1%. Food prices always rise ahead of Chinese New Year but due to the shift in the timing of the holiday, more of this increase took place in January this year relative to 2015."
Producer prices fell 5.3%, compared to a 5.4% drop seen, and to a fall of 5.9% in the previous month.