China producer prices hit four-year high as consumer inflation stays below 1%

· Economy · China

China's producer price index rose 5.7% in October, its highest in more than four years and above the 5.3% expected by economists polled by Reuters, as wholesale inflation accelerated. Consumer inflation, however, stayed below 1% for the month, according to a separate reading, highlighting a persistent gap between factory-gate and household prices in the world's second-largest economy.

Why it matters：Diverging producer and consumer prices complicate Beijing's stimulus calculus and signal uneven demand in a key driver of the global economy.

Key points

  • PPI came in at 5.7% versus 5.3% expected.
  • It was the highest in more than four years.
  • Consumer inflation remained below 1%.

Sources (original reporting)

More stories from this day