High increase in producer prices

Due to expensive raw materials, power shortages, and persistent supply bottlenecks, the Chinese economy raised its prices in October by the most in 26 years. Producer prices rose by 13.5 percent compared to October 2020, the statistics office announced in Beijing on Wednesday. Economists had expected an inflation rate of only 12.4 percent, down from 10.7 percent in September (China.Table reported). Producer prices are considered a leading indicator of inflation trends. Consumer prices have not yet been affected by the price increases. They rose by 1.5 percent in October compared to the same month last year.