Indonesia Plans Higher Asset Yields to Boost Rupiah and Restore Investor Confidence 
Oil Prices Rise as Iran-Israel Tensions Ease Following Trump-Led Ceasefire Push 
US Stock Futures Slip as New Iran Strikes Weigh on Market Sentiment Ahead of Inflation Data 
Japan Producer Prices Surge in May, Strengthening Expectations of BOJ Rate Hike 
South Korea Q1 GDP Growth Revised Higher as AI-Driven Exports Boost Economic Outlook 
BoE Policymaker Alan Taylor Signals No Need for Interest Rate Hike Amid Iran War Inflation Risks 
Wall Street Rebounds as Chip Stocks Rally and Iran-Israel Tensions Ease 
Asian Currencies Stabilize as Strong U.S. Jobs Data Boosts Dollar and Fed Rate Hike Expectations 
Gold Prices Ease as Markets Await Key U.S. Inflation Data and Fed Rate Outlook 
Asian Currencies Gain as U.S. Dollar Softens Ahead of Key Inflation Data in 2026 
Switzerland Population Cap Referendum Sparks Economic and Immigration Debate 
Japan Wholesale Inflation Accelerates to 6.3% in May, Exceeding Forecasts 
Asian Stocks Rebound as AI and Chip Shares Recover; Easing Iran Tensions Boost Sentiment 
Wall Street Ends Mixed as Iran Tensions, OpenAI IPO Filing, and Inflation Concerns Weigh on Markets 
US Dollar Dips as Middle East Tensions Ease; Markets Await Key US Inflation Data 
South Korea Stocks Tumble as KOSPI Triggers Circuit Breaker Amid Chip Selloff and Middle East Tensions 
Gold Prices Hit 11-Week Low as Strong U.S. Jobs Data Dampens Rate Cut Hopes 
China’s Economic Stimulus: $1.4 Trillion Debt Relief Amid Slowing Inflation
In October, China’s consumer prices grew at a slower pace, while deflation deepened in its manufacturing sector. This economic slowdown has led Beijing to intensify stimulus measures, aiming to stabilize its economy.
Slowing Inflation and Rising Deflation
According to China’s National Bureau of Statistics, the consumer price index (CPI) in October rose just 0.3% year-over-year, down from September’s 0.4% increase and the lowest growth rate since June. This fell short of the 0.4% forecast by economists in a Reuters poll, while on a month-to-month basis, CPI dropped by 0.3% after remaining flat in September, below the projected 0.1% decline.
The producer price index (PPI), which tracks factory-level inflation, decreased by 2.9% year-over-year, marking a deeper drop than the 2.8% decline in September. This figure also fell short of the expected 2.5% decline, signaling increasing deflationary pressure on Chinese manufacturers.
Government’s $1.4 Trillion Debt Relief Package
China has announced a 10 trillion yuan ($1.4 trillion) package focused on reducing "hidden debt" among local governments to combat these economic challenges. Rather than injecting liquidity directly into the economy, this package seeks to provide structural debt relief, allowing local governments more financial flexibility to support economic activity without adding further inflationary pressure.
Conclusion
With consumer prices slowing and producer deflation deepening, China's economic outlook remains uncertain. However, this significant debt relief measure reflects Beijing’s commitment to tackling underlying fiscal pressures to stabilize growth.
