(ANSA) - BEIJING, DECEMBER 09 - Producer prices in China rose in November by 12.9% annually, marking a slowdown compared to October (+ 13.5%) but exceeding the analysts' estimates (+ 12.4%), in this is the wake of the central government's crackdown on raw material costs and the improvement of the energy crisis.
The Chinese economy, which has rebounded sharply from the collapse of last year's pandemic, has lost momentum in recent months due to tensions in commodities, a slowing manufacturing sector, debt problems in the real estate sector and outbreaks of Covid-19. On Monday the Central Bank of China, among the measures implemented, announced a 0.50% cut - the second in 2021 - to the mandatory reserves of credit institutions, allowing the release of 190 billion dollars on the markets to support long-term loans.
As for inflation, consumer prices rose by 2.3% on an annual basis, the National Bureau of Statistics announced, slowing down from expectations of + 2.5% but up on the 1.5% in October.
The trend, however, remains modest as the restrictions for Covid-19 slow down consumption and weigh on demand, indicating a limited passage of high production prices to retail ones.
No cases of the Omicron variant have been reported in China so far, but its appearance could add further pressure to China's 'zero tolerance' policy against Covid so far.
(HANDLE).