China's CPI falls 0.1% in May, PPI down 3.3% YoY

Core CPI, which excludes food and energy prices, climbed up by 0.6 per cent YoY in the month from a 0.5-per cent rise in April.

For the January-May period, the country's CPI averaged a 0.1-per cent YoY decline.

Meanwhile, the country’s producer price index (PPI), which measures costs for goods at the factory gate, dropped by 3.3 per cent YoY and 0.4 per cent MoM in May, a state-controlled news agency reported.

NBS statistician Dong Lijuan attributed the PPI decline to falling international crude prices, which drove down domestic prices in petroleum-related industries, as well as a seasonal slowdown in demand for energy and raw materials, with coal prices easing and construction activity disrupted by hot and rainy weather in southern regions.

In May, the purchasing prices for industrial producers dropped by 3.6 per cent YoY.

ALCHEMPro News Desk (DS)