China PPI Soars in March

The first chart shows year on year price change for pork (blue) and vegetables (yellow).

The scale of the produce price chart is very large, hiding the massive swing from deflation to inflation in March. This was caused by a 9.9 percent monthly increase in oil prices. One month doesn't make a trend, but producer deflation has been falling since December 2015 and a swing to inflation would unfold over the next year if commodity prices have bottomed.

NBS: Consumer Prices for March 2016
NBS: Producer Prices for the Industrial Sector for March 2016

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