China's consumer and producer inflation declined more than anticipated in February, reinforcing calls for stronger economic stimulus. The consumer price index (CPI) fell 0.7% year-on-year, exceeding forecasts of a 0.4% drop and reversing January’s 0.5% rise. On a monthly basis, CPI dipped 0.2%, steeper than the expected 0.1% decline, signaling weak consumer demand.
Persistent disinflation continues to weigh on the Chinese economy despite Beijing’s attempts to boost spending through subsidies on discretionary goods. Factory gate inflation also remained under pressure, with the producer price index (PPI) contracting 2.2% year-on-year—worse than the forecasted 2% drop but slightly better than January’s 2.3% decline. February marked the 29th consecutive month of PPI contraction, highlighting prolonged deflationary pressures.
The ongoing economic slowdown is compounded by escalating trade tensions with the U.S. Last week, President Donald Trump imposed 20% tariffs on Chinese imports, adding to concerns over weakened demand and slowing growth. Beijing has hinted at plans for increased fiscal spending and economic support, particularly to revive private consumption, but has yet to reveal specific measures.
China’s economy has been cooling for the past two years, weighed down by weak consumer sentiment and a sluggish property sector. The latest inflation data underscores the urgent need for stronger policy intervention to counter deflationary risks and sustain growth in the world’s second-largest economy.


Japan’s Nikkei Drops as Markets Await Key U.S. Inflation Data
BOJ Governor Ueda Highlights Uncertainty Over Future Interest Rate Hikes
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows
European Stocks Rise as Markets Await Key U.S. Inflation Data
Asian Markets Mixed as RBI Cuts Rates and BOJ Signals Possible Hike
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut
Oil Prices Rise as Ukraine Targets Russian Energy Infrastructure
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures
Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens
IMF Deputy Dan Katz Visits China as Key Economic Review Nears
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification
Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 



