China's CPI growth slows in November

China's consumer inflation slowed more than expected to grow 1.7 percent in November driven by falling food prices, the National Bureau of Statistics (NBS) said Saturday.

A consumer buying goods in a supermarket. [File Photo: VCG]

The consumer price index (CPI), a main gauge of inflation, rose 1.7 percent year on year in November, down from October's 1.9 percent, and missing market forecast of 1.8 percent.

The CPI has grown at less than 2 percent rate for 10 straight months, pointing to mild inflation in the world's second largest economy.

NBS statistician Sheng Guoqing attributed the slowdown in CPI to a decrease in food prices which account for a significant part of the CPI calculation.

Food prices fell 1.1 percent in November year on year, 0.7 percentage points more than the decline registered in October. Pork prices slumped 9 percent, dragging down the CPI growth by 0.25 percentage point.

On a month-on-month basis, food prices fell 0.5 percent. Prices of pork, aquatic products and fresh vegetables declined on abundant supply. Costs of beef, lamb, egg and fresh fruits rose on rising demand.

Non-food prices edged up in November on both yearly and monthly basis.

Non-food costs rose 2.5 percent year on year, 0.1 percentage point higher than the increase posted in October. The costs of health-care, housing and culture and entertainment led the gains.

On a monthly basis, non-food prices gained 0.1 percent. Fuel and diesel prices rose more than 3 percent. Garment costs increased 0.7 percent.

China's producer price index (PPI), which measures costs for goods at the factory gate, rose 5.8 percent year on year in November, according to the NBS. It was down from a growth of 6.9 percent recorded in October.