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The annual inflation rate in China ticked lower to 0.2% in June 2024 from 0.3% in the previous month, marking the fifth consecutive month of consumer inflation, albeit the lowest rate since March, amid weak domestic demand.
Meanwhile, producer prices decreased by 0.8% year-on-year, in line with forecasts and slower than May’s 1.4% fall, extending the 21st consecutive month of producer deflation but the mildest since January 2023, influenced by government support measures.
The monthly producer prices shrank by 0.2%, shifting from the first rise in eight months of a 0.2% gain in May.
The core consumer prices, deducting food and energy costs, increased 0.6% year over year, the same as in May.
Monthly, the CPI declined by 0.2%, the third fall so far this year, compared with the consensus of a 0.1% fall.
Food prices in China declined by 2.1% from the prior year in June 2024, after a 2.0% fall in the previous month, the 12th straight month of a decrease in the cost of food.
The Shanghai Composite fell 0.3% to 2,949.6 in mixed trade on Wednesday, with mainland stocks struggling for clear direction as investors assessed the latest inflation figures.
ETFs: (FXI), (KWEB), (CQQQ), (MCHI), (ASHR), (YINN), (TDF), (CHIQ), (GXC), (EWH), (KBA), (YANG), (CXSE), (CAF), (CWEB), (PGJ), (KURE).
Currency: (CNY:USD)