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China’s consumer prices rose for the fifth straight month in October on a year-on-year basis, in line with market expectations.
Consumer Price Index (CPI) increased 2.5% from a year ago for last month, in the same pace of increase in September, China’s National Bureau of Statistics said on Friday. Experts in a Reuters poll had expected a 2.5% gain.
Food prices were up by 3.3% from a year ago while non-food prices rose 2.4%.
Month-on-month, consumer prices edged up 0.2%, easing from the 0.7% increase in the previous month as the winter season creeps in.
Prices of industrial products for the domestic market moderated from the previous month, with the Producer Price Index rising 3.3% in October year-on-year, matching analysts’ expectations. In September, producer prices slowed to rise by 3.6% from August’s 4.1% increase.
Experts had predicted a slower rise in producer prices amid slacking economic momentum and China's ongoing trade conflict with the United States. For the third quarter, China’s economy grew at the weakest pace since the first quarter of 2009.
China’s consumer inflation target for this year is at 3.0%, in the same pace of increase as last year. The government has said that consumer prices are expected be on a reasonable pace of increase, with no sudden surprises.