china says inflation surges 65
Last Updated : GMT 13:26:10
Arab Today, arab today
Arab Today, arab today

China says inflation surges 6.5%

Arab Today, arab today

Arab Today, arab today China says inflation surges 6.5%

Beijing - AFP

China said Tuesday its politically sensitive inflation rate rose in July to its highest level in more than three years, as the government struggles to rein in soaring food costs. The country\'s consumer price index rose 6.5 percent last month compared to a year earlier, the National Bureau of Statistics (NBS) said in a statement, the highest level since June 2008 when it reached 7.1 percent. The July reading is likely to fuel concern among policymakers anxious about inflation\'s potential to trigger social unrest, and about instability in the Chinese economy at a time of renewed global financial peril. China has been struggling to tame inflation despite restricting the amount of money banks can lend on numerous occasions and hiking interest rates five times since October. Food prices, which the bureau has said are likely to hurt low earners the hardest with foodstuffs accounting for more than one-third of the monthly spending of the average Chinese consumer, were up 14.8 percent in July. But analysts said inflation was now close to a peak and forecast it would fall back later in the year as Beijing\'s efforts to curb prices kicked in. \"The encouraging thing about today\'s data is that headline CPI inflation is up only slightly this month after a big jump higher last month,\" said Brian Jackson, senior strategist at the Royal Bank of Canada. The July rate was up 0.5 percent month-on-month, while CPI in June had risen 6.4 percent from the same month of 2010. In May, it rose 5.5 percent year on year. \"We think inflation is close to a peak and will head lower later in the year as base effects turn favourable and the impact of previous policy measures kicks in,\" Jackson said. \"Beijing will obviously be worried about external weakness and global market volatility, but with inflation still too high for comfort we continue to expect one more rate hike in the next few months.\" Ma Jun, a Hong Kong-based economist with Deutsche Bank, told AFP that Beijing might have to loosen its tightening policies, with growth in the West expected lower than previously forecast given the US and European debt crisis. \"The impact on China\'s CPI is obviously negative -- it will add downward pressures on CPI as international commodity prices are falling sharply,\" he said. \"I had predicted earlier policies would be gradually loosened. Now the likelihood for a loosening is even bigger than expected, particularly in the fourth quarter.\" China\'s producer price index (PPI) for July, a measure of inflation at the wholesale level, was up 7.5 percent year-on-year, the NBS said, from 7.1 percent in June. Premier Wen Jiabao reportedly admitted in June that it would be difficult to keep inflation within the government\'s target for 2011 but added that fighting rising prices remained a priority. Beijing had originally set itself the target of maintaining this year\'s inflation at 4.0 percent, but Wen later said it would be possible to keep the level under 5.0 with \"hard work\". SOme analysts are concerned Beijing might go too far in tightening monetary policy and trigger a sharp slowdown in the world\'s second-largest economy -- which could have dire consequences for the world. Alistair Thornton, an analyst with IHS Global Insight, said policymakers were likely to put off further interest rate hikes until the global economic outlook settles. \"Market turmoil and a weakening US outlook will provide a strong case against further tightening,\" he said in a research note. \"Indeed, many will be arguing for an immediate loosening, given the fears of \'overshooting\' that had already been circulating before the recent slide in global confidence.\" July figures for industrial output, retail sales and fixed asset investment were due to be released later Tuesday.  

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*

china says inflation surges 65 china says inflation surges 65

 



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*

china says inflation surges 65 china says inflation surges 65

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today PNG police start removing refugees

GMT 03:00 2017 Friday ,24 November

PNG police start removing refugees
Arab Today, arab today Sophian Yussef reveals suitable decoration

GMT 02:56 2017 Thursday ,23 November

Sophian Yussef reveals suitable decoration
Arab Today, arab today Syria congress to go ahead

GMT 02:24 2017 Friday ,24 November

Syria congress to go ahead
Arab Today, arab today IS media offline for a day

GMT 02:10 2017 Friday ,24 November

IS media offline for a day
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Human form of 'mad cow' disease

GMT 00:11 2017 Friday ,24 November

Human form of 'mad cow' disease
Arab Today, arab today British woman jailed in Iran to appear

GMT 03:19 2017 Friday ,24 November

British woman jailed in Iran to appear
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mitsubishi Materials units falsified product

GMT 03:24 2017 Friday ,24 November

Mitsubishi Materials units falsified product
Arab Today, arab today 'Robo-taxis' hold promise, and perils

GMT 08:07 2017 Thursday ,23 November

'Robo-taxis' hold promise, and perils
Arab Today, arab today Solaf happy for participating in “Hotline”

GMT 07:56 2017 Wednesday ,22 November

Solaf happy for participating in “Hotline”
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 08:03 2017 Tuesday ,21 November

Abeer Sabry reveals reason of “The Flood” success

GMT 08:03 2017 Thursday ,23 November

Srebrenica women cry tears of joy

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts

GMT 09:12 2017 Thursday ,23 November

4 in 10 cancers due to modifiable risk

GMT 10:47 2017 Wednesday ,22 November

The Big Apple bike boom

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
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