So I'm guessing China won't be exporting inflation any time soon.
From Reuters, October 14:
China’s factory gate prices fell at a faster-than-expected pace in September and consumer inflation slowed to its weakest in 19 months, underscoring the challenges still facing China as it recovers from the COVID-19 pandemic.
The producer price index (PPI) fell for an eighth straight month on an annual basis while consumer prices grew more slowly than expected.
The world’s second largest economy has seen a steady recovery after being hard hit by the coronavirus in the first quarter. But a sustained fall in producer prices, seen as a gauge of industrial demand, may rekindle worries about deflation and prompt authorities to provide more support, analysts said.
“The PPI has not rebounded strongly despite the improving trend, pointing to continued weakness in industrial demand. It is unlikely to return to positive territory this year,” said Wang Jun, chief economist at Zhongyuan Bank.
“It is possible that the economic recovery in the fourth quarter may not be as strong as it has been in the third quarter.”...
....MUCH MORE
