China March CPI Inflation At 5.4%; PPI Inflation At 7.3%
(For March 2011)
China Consumer Price Index was up 5.4% in March, vs. 5.2% consensus and 4.9% February reading. Both food and non-food CPI’s were higher, at 11.7% y-o-y and 2.7% y-o-y, respectively vs. 11.0% y-o-y and 2.3% y-o-y in February. Services CPI also rose to 4.2% y-o-y vs. 3.8% y-o-y in February, pointing to slight (for the time being) wage-driven inflation pressure.
China Producer Price Index was up 7.3% vs. 7.2% consensus and 7.2% February reading. This suggests rising CPI.
More tightening ahead.
