China's CPI MoM +0.2% vs -0.1% expected. YoY -0.3% vs -0.4% last expected

<ul><li>Prior month CPI YoY 0.0%</li><li>Prior month CPI MoM -0.2%</li><li>China CPI MoM for July 0.2% vs -0.1% expected</li><li>China CPI YoY for July -0.3% vs -0.4% expected</li><li>China PPI YoY for July -4.4% vs -4.1% expected. Prior month -5.4%</li></ul><p>The YoY falling below 0.0% is the first since February 2021. There is little reaction to the mixed inflation data. </p><p>The fall below 0.0% in CPI and PPI is the first since 2020, but China NBS says the decline in CPI is only temporary.</p><p>The offshore yuan rose (USDCNH lower) after the lower fixing for the USDCNY. The USDCNH is now moving to a new low after a brief bounce after the data.</p>

This article was written by Greg Michalowski at www.forexlive.com.