China: CPI was steady at 2.3%/yr - TDS

Research Team at TDS, notes that China’s Apr CPI was steady at 2.3%/yr for the third straight month, coming in at market expectations.

Key Quotes

“Non-food inflation edged up from 1%/yr to 1.1%/yr while food price inflation edged down from 7.6%/yr to 7.4%/yr. Producer prices rose more than expected, from –4.3%/yr to –3.4%/yr, with rising oil and gas prices and the surge in domestic steel prices the drivers. Deflation concerns should ease with producer prices rising for the first time in 27 months.”