Arab Today, arab today chinas producer prices continue to tumble
Last Updated : GMT 18:13:02
Arab Today, arab today
Arab Today, arab today

China's producer prices continue to tumble

Arab Today, arab today

Arab Today, arab today China's producer prices continue to tumble

Fall in the price of benchmark iron ore
Beijing - XINHUA

 China's producer prices continued to fall in July, pointing to looming deflation risk, data from the National Bureau of Statistics (NBS) showed on Sunday.

The producer price index (PPI), a measure of costs for goods at the factory gate, fell 5.4 percent year on year in July, widening from the 4.8-percent drop seen a month earlier.

The July reading dipped to the lowest level since the end of 2009 and marked the 41th straight month of decline.

Specifically, prices of production materials fell 6.9 percent, while those of consumer goods edged down 0.3 percent.

For the first seven months, PPI averaged at a 4.7-percent drop year on year. On a monthly basis, the index went down 0.7 percent in July.

NBS statistician Yu Qiumei attributed the PPI contraction mainly to dropping prices of industrial products and decreasing costs for oil and natural gas production.

"Domestic demand remained sluggish, and commodity prices were on the decline. China still faces grim deflation risk," noted Qu Hongbin, chief China economist at HSBC.

In a sign of weak demand, China's imports nosedived by 8.6 percent in July. A sharp decline of 8.9 percent in exports also cast a shadow on the world's second largest economy.

To make things worse, major commodity prices are lingering at multi-year low, and there are no signs of quick recovery.

The World Bank predicted that energy prices will average 39 percent below 2014 levels this year, with metal prices down 16 percent and iron ore plummeting 43 percent.

Peking University economist Su Jian believes weak commodity prices drive down the prices of finished products, which delays investment and postpone consumption. Weak demand caused by shrinking business activity will in turn sink commodity prices.

"To avoid such a vicious circle, we need more expansionary policies," said Su.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today chinas producer prices continue to tumble Arab Today, arab today chinas producer prices continue to tumble

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today chinas producer prices continue to tumble Arab Today, arab today chinas producer prices continue to tumble

 



Arab Today, arab today Designer prepared new set of ornaments

GMT 02:45 2017 Wednesday ,28 June

Designer prepared new set of ornaments
Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Mai Al-Jeddawi presents décor ideas for Ramadan
Arab Today, arab today
Arab Today, arab today

GMT 08:23 2017 Saturday ,24 June

Actress Feryal Yussef received new drama offers

GMT 09:49 2017 Tuesday ,02 May

Girl barred from Malaysia chess competition

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse

GMT 16:25 2017 Sunday ,04 June

“Suhoor” is basic meal for fasting

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 11:09 2017 Sunday ,25 June

HUAWEI P10 the ‘guru’ of portrait shots

GMT 17:59 2017 Monday ,12 June

Designer Rania Adel reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday