China’s consumer inflation surged in March on rising food prices, while factory-gate prices rebounded from close to zero.
The consumer price index rose 2.3 percent last month from a year earlier after gaining 1.5 percent in February, while factory price growth accelerated to 0.4 percent, according to the National Bureau of Statistics. That compares to estimates of 2.3 percent and 0.4 percent respectively.
Pork prices, a key element in the country’s CPI basket, surged in March as over a million hogs were culled in an outbreak of African swine fever.
China’s economy will still flirt with deflation this year with producer prices likely to contract in the second half, according to economists.
Source : Bloomberg