Consumer and producer inflation from China

  • CPI in at 1.9% vs. expected 2.1%, prior 2.2%
  • PPI came in at 0.9% against expected 1.6%, prior 2.7%

PPI increase the smallest since September of 2016

A less robust domestic demand picture in China might well be playing a part in this … less healthy external sector combined with that.

I just posted on the AUD prior to this data release …. its dropping further after this.


ps. the counter to a weaker picture in China is it'll prompt more stimulus