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China’s Inflation Higher Than Expected in April

China’s National Bureau of Statistics (NBS) reported today that the consumer price index (CPI), a measure of inflation, rose 2.1% year-on-year in April. This was above the 1.5% increase in March and above analysts’ forecasts of a 1.9% rise.

In April, the consumer price index rose slightly as China’s logistics system continues to be affected by stringent measures to contain the spread of COVID-19.

Food prices rose 1.9% year-on-year in April after falling 1.5% in March. The price of Chinese pork fell 33.3% YoY in April after falling 41% in March.

The core CPI, which excludes food and energy prices rose 0.9% in April, down from a 1.1% gain in March.

The producer price index (PPI) rose by 8% in April, following an increase of 8.3% in March. It was higher than analysts’ estimates of an increase of 7.7%.

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