comments and feedback

CPI and PPI Dropped in April 2018 on a Month-on-month Basis

Submit Time:04-06-2018 | Zoom In | Zoom Out

Author: | Source:National Bureau of Statistics

Abstract:

According to the national Consumer Price Index (CPI) and Producer Price Indices for Manufactured Goods (PPI) of April 2018 released by the National Bureau of Statistics, CPI went down by 0.2% on a month-on-month basis and up by 1.8% on a year-on-year basis; and PPI went down by 0.2% on a month-on-month basis and up by 3.4% on a year-on-year basis. In this regard, the senior statistician Sheng Guoqing from the Department of Urban Statistics, National Bureau of Statistics made an interpretation. 

I.   CPI dropped on a month-on-month basis, and year-on-year rise went down 

On a month-on-month basis, CPI dropped slightly, with the decrease narrowed down by 0.9% compared to last month. The food price went down by 1.9%, contributing about 0.38% to the decline of CPI, as the main influencing factor. The price of fresh food continued to drop. The price of fresh vegetables and fresh fruits dropped by 5.5% and 1.2%, respectively; the price of pork, eggs and aquatic products dropped by 6.6%, 3.4% and 1.2% respectively. Totally, the above five categories contributed about 0.35% to the decline of CPI. Non-food prices rose by 0.2%, contributing about 0.2% to the rise of CPI. Affected by the Qingming Festival and May Day factors, the price of airline tickets, hotel accommodation and tourism rose by 9.4%, 2.7% and 1.0% respectively, totally contributing about 0.04% to the rise of CPI. Affected by domestic refined oil price adjustment, the price of gasoline and diesel both rose by 2.7%, contributing about 0.05% to the rise of CPI. The rise in rents pushed the housing price to go up by 0.1%, contributing about 0.03% to the rise of CPI. Additionally, the rise in the price of traditional Chinese medicine and western medicine contributed about 0.02% to the rise of CPI.  

On a year-on-year basis, CPI rise dropped by 0.3% compared to last month. Food price rose by 0.7%, contributing about 0.13% to the rise of CPI. The price of eggs, fresh vegetables and fresh fruits rose by 17.7%, 8.2% and 4.2% respectively, totally contributing about 0.33% to the rise of CPI; the price rise of poultry, aquatic products and beef and mutton contributed about 0.18% to the rise of CPI; the price of pork dropped by 16.1%, contributing about 0.43% to the decline of CPI. Non-food prices rose by 2.1%, contributing about 1.67% to the rise of CPI. Healthcare price rose by 5.2%; education service price rose by 2.7% and housing price rose by 2.2%. According to estimation, the carryover effect of the price change last year contributed about 1.3% to the year-on-year rise of CPI (1.8%) in April, and the new rise in price contributed about 0.5%. 

II.        PPI dropped on a month-on-month basis, and year-on-year rise picked up 

On a month-on-month basis, the decline of PPI was the same as that in last month. The price of production goods and consumer goods went down by 0.2% and 0.1% respectively. Among the investigated 40 industrial categories, 16 industries saw the decrease in product prices, one fewer compared to last month. Of the main industries, gas production and supply industries saw a significant drop, down by 1.2%, narrowing down by 0.5% compared to last month; non-ferrous metal smelting and rolling went down by 0.2%, narrowing down by 0.5%. Ferrous metals mining and dressing dropped by 2.9%, changing the previous situation of rising; ferrous metal smelting and rolling dropped by 1.8%; coal mining and washing dropped by 0.9%. Oil and natural gas extraction rose by 3.2%, changing the previous situation of dropping; oil, coal and other fuel processing rose by 0.7%.  

On a year-on-year basis, PPI rise picked up by 0.3% compared to last month. Among them, the price of production goods rose by 4.5%, 0.4% higher than that of last month; the price of consumer goods rose by 0.1%, 0.1% lower than that of last month. Among the main industries, the rise of oil and natural gas extraction, ferrous metal smelting and rolling, oil, coal and other fuel processing, manufacturing of chemical raw materials and chemical products and non-ferrous metal smelting and rolling picked up, totally contributing about 0.34% to the year-on-year rise of PPI. The rise of the manufacture of non-metallic mineral products went down, rising by 11.0%, 1.0% lower than that of last month; coal mining and washing rose by 4.4%, 1.4% lower than that of last month. According to estimation, the carryover effect of the price change last year contributed about 3.6% to the year-on-year rise of CPI (3.4%) in April, and the new rise in price contributed about -0.2%. 


Related Articles