China Research Trip: Short-Term Stabilisation Contrasted Against Longer-Term Worries

Economist, Centennial Asia Advisors

Jason Tan

Economist

Centennial Asia Advisors

At Centennial Asia Advisors, we tell it like it is. We have no vested interests, no need for a China wall, and no reason to skew our outlook any other way. With over 30 years experience covering Asia’s political economy, you can be sure our conclusions and analyses are based on the unadulterated facts. Through years of fine-tuning our research methodologies, we deliver a quality of macroeconomic analysis few other houses can match.

Centennial Asia Advisors is an independent research and advisory firm that works with governments, multilateral institutions, financial firms and leading MNCs.

Economic Policy and Strategic Advisors

Macroeconomics

Inflationary pressures building: China’s CPI rose 0.9% y/y in Mar 17, up a tick from 0.8% in Feb 17, due to higher costs of services. Core inflation rose 2.0% in Mar 17, up from 1.8% in Feb 17. Also, the producer price index (PPI) increased 7.6% y/y in Mar 17, down from a 7.8% in Feb 17. Rising global commodity and oil prices combined with rising housing costs are boosting inflation, and this will persist through 2017. Assessment: key risk is upside inflation surprise  Since producers will have…

Inflationary pressures building: China’s CPI rose 0.9% y/y in Mar 17, up a tick from 0.8% in Feb 17, due to higher costs of services. Core inflation rose 2.0% in Mar 17, up from 1.8% in Feb 17. Also, the producer price index (PPI) increased 7.6% y/y in Mar 17, down from a 7.8% in Feb 17. Rising global commodity and oil prices combined with rising housing costs are boosting inflation, and this will persist through 2017. Assessment: key risk is upside inflation surprise  Since producers will have…

China: Rising Inflation Could Be Destabilising