Price increases moderate in June, but authorities appear to be uneasy about the short-term cost pressures on manufacturers and the unbalanced nature of the longer-term recovery, reported the Wall Street Journal.
China’s producer-price index rose 8.8% in June from a year earlier, edging down from May’s year-over-year surge of 9.0%, the National Bureau of Statistics said Friday. The reading was in line with forecasts from economists polled by the WSJ. It was the first time the figure declined from the previous month since last October.
Apart from a higher base of comparison last year, the modest slowdown in the inflation measure was driven primarily by slower increase in global metal prices and Beijing’s recent efforts to tame the domestic commodities rally, the statistics bureau said.