Inflation, Oil Prices
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BEIJING, March 9 (Reuters) - China's consumer inflation accelerated to the highest in more than three years due to the effects of the Lunar New Year holiday, while producer deflation persisted as weak demand remained a drag on an economy facing stiff external challenges.
China's consumer inflation recorded the biggest jump in more than three years, as an extended holiday bolstered spending.
We expect further push from the belated pass-through of the 1Q2026 [first quarter 2026] utility tariff hike while the Middle East war pushes Brent crude oil above US$83.0 per barrel, higher than the US$ 74.
The China 'deflation doom loop' story certainly looks like it's aged poorly, as inflation continues to trend higher.