China’s consumer price growth was weaker than expected in May, with official data from the National Bureau of Statistics showing the consumer price index rose 0.3% for the month compared to the 0.4% forecast by a Reuters poll, reports the Financial Times. Factor price deflation eased slightly as China tried to shake off weak domestic consumption and investor sentiment.
The producer price index declined 1.4% in May, easing from a 2.5% contraction in April. Analysts had forecast a fall of 1.5% as Chinese industry received a boost from strong exports last month.
While the data marked an improvement from previous months in which China flirted with deflation, Wednesday’s release underlined a mixed picture for the economy.