Address

Precise Investors

Sunday, January 23, 2022
Latest News

China’s PPI rises 12.9 percent in November

China ppi

The cooling down in PPI follows the implementation of policies ensuring supply, and curbing price hikes of coal, metals and other raw materials, said Dong Lijuan, a senior statistician with the NBS

China’s official producer price index (PPI), which reflects the cost of goods at the factory gate, rose by 12.9 percent in November from a year earlier, compared with a 26-year high of 13.5 percent in October, data from the National Bureau of Statistics (NBS) showed Thursday.

The figure beat forecasts by UBS, Reuters and Bloomberg economists – of 10.8 percent, 12.4 percent and 12.1 percent, respectively.

The cooling down in PPI follows the implementation of policies ensuring supply, and curbing price hikes of coal, metals and other raw materials, said Dong Lijuan, a senior statistician with the NBS.

The PPI increases in the coal mining and washing industry, ferrous and non-ferrous metal smelting and rolling processing industry narrowed year on year by 14.9 percentage points, 8.9 percentage points and 3.0 percentage points, respectively, data showed.

Dong said the carryover impact of price changes last year contributed a 1.2-percentage point increase in PPI, while the impact of the new price increases was about 11.7 percentage points.

Wang Tao, chief China economist at UBS Investment Bank, noted that the PPI edged down in November because the data reached a peak in October.

China’s consumer price index (CPI), a main gauge of inflation, rose by 2.3 percent year on year in November, compared with a 1.5-percent gain in October.

The inflation index was lower than the UBS prediction of 2.8 percent and Bloomberg economists’ forecast of 2.5 percent.

Food prices rose by 1.6 percent year on year, compared with a drop of 2.4 percent year on year in October, contributing to a 0.3-percentage point rise in the CPI, said Dong.

Besides the price rises in November, the jump in CPI was mainly affected by the low base of the same period last year, said Dong.

Important:

The articles are for information purposes only and Precise Investors shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.

Precise Investors does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.

There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.

Leave a Reply