China producer prices were unchanged in June, snapping almost three years of consecutive growth, according to official figures, while the pace of consumer price increases remained steady despite another jump in the cost of pork.
Factory prices were unchanged from a year ago, marking the first month they have not increased since prices fell in August 2016. That was short of the 0.6 per cent growth in May and the 0.3 per cent increase forecast in a Reuters poll.
Consumer inflation held in line with the previous month’s 2.7 per cent year-on-year rise, matching economists’ expectations. That was driven by an 8.3 per cent rise in food prices, led by a jump in pork prices, China’s favoured meat, and as fruit prices surged 42.7 per cent owing to bad weather and low prices last year. Pork prices rose 21.1 per cent, the fastest rise in three years, according to Wind data.