Overview
- Official data show November consumer prices rose 0.7% year on year, with a 0.1% monthly drop after October’s 0.2% gain.
- Core inflation held at 1.2% year on year, and food prices turned positive at 0.2% after a 2.9% decline in October.
- Producer prices fell 2.2% from a year earlier, a deeper drop than forecast and part of a deflation streak now in its fourth year.
- Economists cite the protracted property downturn and a weak labor market as reasons deflationary pressure may persist, urging stronger demand support.
- With an easing bias but caution on broad stimulus, leaders set 2026 priorities to expand domestic demand as markets watch the Central Economic Work Conference for policy signals; exports remain resilient, lifting the trade surplus above $1 trillion and keeping growth near the ~5% target.