China’s consumer inflation rate dipped to its lowest level in fifteen months in December at 4.1 percent compared with a year earlier.
The average rate last year was 5.4 percent, above the government’s target of 4.0 percent.
Food inflation rose slightly to 9.1 percent from November’s 8.8 percent — the lowest since September 2010. That would be troubling for China’s government if it signalled a rebounding trend in the cost of basic foodstuffs.
The figures raised economists expectations that Beijing will adjust its economic policy to boost growth as internal and external demand for Chinese goods slips.
More guidance will come when China will post fourth-quarter GDP data on Jan 17, along with December industrial output, investment and retail sales data.