Inflation eases as growth continues to moderate

China’s November inflation eased significantly to 4.2% y/y in November from 5.5% in October, somewhat below expectations (BBVA: 4.3%; Consensus: 4.5%). Meanwhile, a batch of monthly activity indicators, also released today, show that domestic demand continues to moderate in line with a soft landing, while production is declining somewhat more rapidly, possibly due to weakening external demand.

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