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China’s Inflation Edges Up in October, First Increase in Four Months

A longer Golden Week lifted travel costs, nudging inflation positive.

Overview

  • Official data show the consumer price index rose 0.2% year on year in October, ending a three‑month stretch of non‑positive readings.
  • Service prices climbed 0.8% as hotel and airfare costs increased, with travel-related prices up 2.1% compared with 0.9% in September.
  • Core CPI, which excludes food and energy, increased 1.2%, indicating modest underlying price gains.
  • Food prices fell 2.9% from a year earlier, including a 16.0% drop in pork, a key driver of household grocery costs.
  • Producer prices declined 2.1% year on year, marking the 37th straight monthly fall, while vehicle prices dropped 1.9% amid intense price competition.