China Inflation Rate Hits Three Year High in June?

China's inflation escalated to the highest level in three years, jumping 6.4 percent year-on-year in June, the National Bureau of Statistics (NBS) said on July 9., National Bureau of Statistics China 7/9/2011 6:08:37 PM

The June inflation rate accelerated 0.9 percentage points from May's 5.5 percent which stood at a 34-month high, both far exceeding the government's annual inflation control target of 4 percent.

Of the 6.4-percent CPI growth in June, 3.7 percentage points were contributed by the carryover effect of price increases last year, the NBS said in a statement on its website.

Food prices, which account for nearly one third of the basket of goods in the nation's CPI calculation, continued to rise 14.4 percent in June from the same month last year, a pace faster than May's 11.7 percent. Pork prices topped the rising list with an increase of 57.1 percent. In addition to pork, other food categories, including grains, eggs and aquatic products, also rose more than 10 percent.

Growth in non-food prices also accelerated to 3 percent in June, up from a year-on-year increase of 2.9 percent in May.

China Inflation Rate Hits Three Year High in June?