China's consumer inflation stays elevated, producer prices slips back into deflation

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China’s consumer inflation remained elevated in February driven by fast-growing food prices, while producer prices slipped back into deflation as the coronavirus outbreak disrupted economic activity, raising the prospect of more government stimulus.

The Consumer Prices Index (CPI) rose 5.2 per cent last month from a year earlier, shows data released by the National Bureau of Statistics on Tuesday. That's in line with expectations and slowed slightly from a 5.4 per cent gain in January which was the fastest growth since October 2011.

The sudden outbreak of the coronavirus caused . . .

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