China inflation data for July, CPI 2.8% y/y (2.7% expected) PPI -0.3% y/y (vs -0.1%)

China data

CPI 2.8% y/y

• 2.7% expected
• prior 2.7%

PPI -0.3% y/y

• -0.1% expected
• prior 0.0%

CPI edging up, still within the PBOC target band but something to watch. Meanwhile, PPI dropping … what this means n the ground is lower business profits …. not a positive for China.