CHINA PREVIEW: Consumer Prices Seen Rising to Five-Month High
Source: BFW (Bloomberg First Word)
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(Bloomberg) -- Rising food prices likely lifted China’s CPI in Jan., while slower manufacturing activity and a drop in metal prices extended decline in producer prices, according to Bloomberg surveys.
Alert: HALISTER1- CPI rose 1.9% y/y last month, according to median est. in survey; ests. of 32 economists range from +1.5% to +2.3%; data due at 9:30am local time tomorrow
- China food inflation tracker rose to 3.02% in Jan., highest since Aug., from 2.16% in Dec.
- Correlation between CPI and food tracker at 0.986 in past five years
- Producer prices likely fell 5.4% y/y in Jan. versus -5.9% in Dec., according to separate survey
- China’s PPI has been negative since Feb. 2012
- London Metal Exchange index based on six primary metals fell 1.6% m/m to 2,168.4 in Jan.; correlation between index and China PPI at 0.883 in past five years
- China manufacturing PMI fell to 49.4 in Jan. from 49.7 in Dec; output component dropped to 51.4 from 52.2 in Dec.
Source: BFW (Bloomberg First Word)
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UUID: 7947283