Factory gate inflation, which surged around the start of the year in China, has pulled back a bit of late. With June figures due Monday, economists expect no change from May’s five percent as activity in the property and infrastructure sectors slows amid a government crackdown on risky lending. Even if producer inflation surprises to the upside it will likely reflect commodities price gains as importers have restocked inventories rather than a resurgent upswing, saidLarry Hu, head of China economics at Macquarie Securities Ltd. in Hong Kong
Source: Bloomberg Pro Terminal
Trader I. Ivanov
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