Consumer inflation eases to 6.3%

Consumer price inflation in China fell in July to 6.3%, down from 7.1% in June, the Wall Street Journal reported. The figure was the lowest since September last year, and was down significantly from a 12-year high of 8.7% posted in February. Easing food prices were credited for the drop; food comprises about one-third of China’s consumer price basket. Economists expect easing consumer price inflation to allow Beijing to repeal price controls instituted earlier this year. On Monday, China released its producer price index figures for July, showing sharply higher increases in the price of goods charged by manufacturers.