Comment on Prices in China are stagnating, putting more pressure on Beijing to jump-start the economy

Prices in China are stagnating, putting more pressure on Beijing to jump-start the economy

Beijing is under fresh pressure to stimulate the economy after prices stagnated in September.Thomson ReutersFresh signs of deflation in China are stoking demand for national stimulus to revive the economy.Consumer prices rose by 0.4% in September, while producer prices fell by 2.8%.China's headwinds include a burst property bubble, high youth unemployment, and threats to exports.Chinese officials are under mounting pressure to stimulate the economy after official price data released Sunday stoked fresh deflation fears.The consumer price index (CPI) rose 0.4% year-on-year in September, as bad weather pushed up food prices ahead of the Golden Week holiday.

 

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