China data for May

CPI

For the m/m, -0.2%

  • expected 0.0%, prior was -0.2%

For the y/y, +1.2%

  • expected +1.3%, prior was +1.5%

PPI

For the y/y, -4.6%

  • expected -4.5%, prior was -4.6%

-

  • CPI up at a slow pace, slowest since January and a big fall from the +1.5% y/y last month
  • The official target for inflation is around 3%, so we are well below there
  • The PPI declined for the 39th consecutive month