China inflation to rise after March - Financial News

Dhwani Mehta FXStreet

China's CPI may turn positive after March, the People’s Bank of China (PBOC) run newspaper - Financial News reports, citing Chinese analysts.

Key quotes

“China is likely to face more moderate inflation in 2021 than other nations given its more stable monetary policy, slow wage growth and steady price expectations.”

“In the long run, inflation and increasing asset prices due to higher importing costs may be a concern.”

This comes after the CPI dropped 0.3% YoY in January after accelerating 0.2% in the previous month.

Related reads

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

GBP/USD runs north of 1.3500, on broad US Dollar weakness

EUR/USD clings to gains above 1.1400 after US data, Warsh's testimony

Gold trims early gains, hovers around daily opening

Crypto Today: Bitcoin, Ethereum, XRP stall after US CPI-driven mild rally

The cryptocurrency market pauses on Wednesday, following a brief, macro-driven rally the previous day. Bitcoin (BTC) is consolidating above $64,500, signaling waning bullish momentum and increased profit-taking as sellers emerge.

The conflict in the Middle East: A massive blow to growth in the Gulf

For the first time since 2009 (excluding COVID), the GDP of the Gulf Cooperation Council (GCC) is expected to contract this year (-0.8%), whereas pre-conflict forecasts had predicted growth of 4.7%.

-0.4%: Why the biggest CPI drop since 2020 couldn't buy back a single cut

The June CPI fell 0.4% on the month, the largest one-month decline since April 2020, dragging the annual rate to 3.5% from May's 4.2% and snapping a three-month acceleration streak. Core prices went nowhere, flat on the month and down to 2.6% YoY, both under consensus.