FX.co ★ China’s inflation slows to 1.6% in September

China’s consumer inflation retreated in September on the back of slower pace of food prices growth, the National Bureau of Statistics (NBS) said.

The consumer price index (CPI) grew by 1.6% year-on-year in September after rising by 1.8% in the previous month. The score matched analysts’ expectations.

Food prices declined by 1.4% from a year ago following a 0.2% fall in August. Non-food prices gained 2.4% on a yearly basis after a 2.3 rise in August.

Consumer goods increased by 0.7%, while services costs advanced by 3.3%.

The Chinese government has been committed to keep inflation at the level of 3% in 2017.

On a quarterly basis, consumer prices rose by 0.5% in September after climbing by 0.4% in the prior month.

Producer prices rose by 6.9% last month on a yearly basis after a 6.3% increase in August. Meanwhile, experts had anticipated a 6.4% rise.

Month-on-month, producer prices edged up by 1%. In July, prices rose by 0.9% on a monthly basis.