China's inflation growth likely to moderate: report

      Source: Xinhua| 2018-02-03 21:41:26|Editor: Zhou Xin
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      BEIJING, Feb. 3 (Xinhua) -- Despite rising food and oil prices, China's inflation growth will likely moderate in January due to a high base a year ago, the Bank of Communications said in a report.

      BOCOM predicted the consumer price index (CPI), a main gauge of inflation, will inch down to 1.4 percent year on year in January from the 1.8 percent growth in the previous month.

      Food prices saw marked growth from a month ago as rain and snow across the country dampened the output of vegetables and other farm produce, according to the report.

      Meanwhile, price spikes in domestic refined oil drove up the CPI's non-food sub-index as global crude prices hit the highest level in nearly three years last month.

      But January's CPI will still moderate year on year as the price increases were offset by a high base in the same period of 2017, when consumer prices picked up by the fastest pace in two and a half years.

      China's inflation has remained subdued since last February, mainly due to stable food prices, with the full-year growth at only 1.6 percent, below the government's annual inflation regulation target of around 3 percent.

      BOCOM expects consumer prices to continue the mild trend this year with an increase of 2 percent.

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