China’s Consumer Inflation Rises for First Time Since August

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