Consumer Prices in China Exceeded Expectations in October

China's Consumer Price Index Surprised with an Increase in October

In China, consumer prices in October recorded an increase, contrary to economists' predictions. The rise in prices was attributed to the increased demand for travel, food, and transportation during the holiday period. However, economists caution that this increase may not be permanent.

Consumer Price Index Data

According to the National Bureau of Statistics, the Consumer Price Index (CPI) rose by 0.2 percent year-on-year in October. This followed a 0.3 percent decrease seen in the previous month. Economists participating in a Bloomberg survey had expected a 0.1 percent decline in prices. The core inflation, excluding volatile food and energy prices, increased by 1.2 percent.

Service Costs and Factory Gate Prices

In October, service costs also saw an increase of 0.2 percent, contributing to overall inflation. On the other hand, factory gate prices continued to show a downward trend for the 37th month, but there is notable slowing in the pace of this decline.