Chine Taux d'inflation

China’s annual inflation rate surged to 0.5% in January 2025 from 0.1% in December, surpassing market consensus of 0.4%. This marked the highest figure since August 2024, driven by seasonal effects from the Lunar New Year at the end of the month. The latest result also reflected the impact of recent government stimulus measures and the central bank’s supportive monetary policy to aid the economy. Food prices rebounded (0.4% vs -0.5% in December), mostly due to faster price rises for pork (13.8% vs. 12.5%) and fresh vegetables (2.4% vs. 0.5%). Meantime, non-food prices quickened (0.5% vs 0.2%), reflecting further rises in housing (0.1% vs 0.1%), healthcare (0.7% vs 0.9%), and education (1.7% vs 0.9%), as well as a slower drop in transport cost (-0.6% vs -2.2%). Core consumer prices, excluding food and energy, rose 0.6% yoy, the most in 7 months. Monthly, the CPI increased by 0.7%, picking up from December's flat reading and representing the highest level in 11 months.