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Chinese inflation picks up in November

Published 12/09/2015, 02:48 AM
© Reuters.  Chinese inflation rises in November

Investing.com - Chinese consumer price inflation rose last month, according to data released on Wednesday, indicating that Beijing’s effort to bolster growth in the world’s second-largest economy may be starting to take effect.

The National Bureau of Statistics reported that China’s consumer price index rose 1.5% in November from a year earlier, slightly better than economists’ forecast for an increase of 1.4% after a 1.3% rise in October.

On a monthly basis, consumer prices were flat, compared to expectations for a fall of 0.1%, after a 0.3% fall in October.

China’s producer price index fell 5.9% on a year-over-year basis, matching October’s decline, the agency said. It was the 45th consecutive month of declining producer prices, amid weak demand and falling global commodity prices.

China's central bank has already cut interest rates six times since last November and reduced the amount of cash that banks must set aside as reserves in a bid to shore up slowing growth.

The rate of economic growth in China slowed to 6.9% in the third quarter, according to official data, dropping below the 7% level for the first time since the global financial crisis.

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