China's Consumer Prices Rise Amid Weather Disruptions and Policy Measures

July sees a 0.5% increase in CPI driven by food price hikes and government efforts to boost spending.

Consumer price index (CPI) increased by 0.5% year-on-year in July, up from 0.2% in June.
Extreme weather conditions, including high temperatures and heavy rainfall, significantly impacted food prices.
Non-food prices saw a rise due to increased demand for summer tourism services like airline tickets and hotel accommodations.
Producer price index (PPI) continued its deflationary trend, falling 0.8% year-on-year for the 22nd consecutive month.
Analysts suggest that while CPI inflation may rise, weak domestic demand will likely prompt further monetary easing.