CPI and PPI y/y data from China for the month of December are published today. These are likely to remain subdued. A report from China Beige Book International (CBBI) this week, based on a survey of 4,300+ businesses showed:
- Q4 2022 (October – December) had the weakest growth in wages and input costs since mid-2020
- sales price growth fell to its lowest since late 2020
- “Short-term disinflation is already here, with sales price growth slowing to a crawl”
- “The Covid-19 blow to retail could push this into deflation in the first quarter.”
Fiscal and monetary stimulus is increasing in China, this will likely push up inflation in the months ahead, but not yet. Current CPI levels do not stand in the way of even more support.
-
This
snapshot from the ForexLive economic data calendar, access
it here. -
The
times in the left-most column are GMT. -
The
numbers in the right-most column are the ‘prior’ (previous
month/quarter as the case may be) result. The number in the column
next to that, where there is a number, is the consensus median
expected. -
I’ve
noted data for New Zealand and Australia with text as the similarity
of the little flags can sometimes be confusing.
This article was originally published by Forexlive.com. Read the original article here.