China: CPI inched higher and PPI eased in March - TDS

Analysts at TDS explain that China’s March PPI eased from +7.8%/yr in Feb to +7.6%/yr (mkt +7.5%), retreating for the first time since the revival of producer prices began in 2016.

Key Quotes

“Producer prices might have peaked and may begin to ease after base effects wash away. CPI inched higher at +0.9%/yr from a prior +0.8%, just a tad below market expectation of +1.0%. In month on month terms, CPI contracted –0.2%/mth, attributed to the fall in food prices.”