China’s consumer inflation has accelerated for the first time since last August, driven by increased household spending during the Lunar New Year holiday. The National Bureau of Statistics reported a 0.5% year-over-year increase in the consumer price index (CPI) in January, surpassing the median forecast of economists who predicted a 0.4% gain. This surge is a welcome relief from deflationary pressures, which have persisted for 28 consecutive months. The 2.3% dip in factory prices indicates ongoing downward pressure on costs, but the rise in consumer inflation suggests a shift towards more sustainable growth.
Source: https://www.bloomberg.com/news/articles/2025-02-09/china-s-consumer-inflation-picks-up-after-holiday-spending-spurt