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China inflationary trends diverge further

Chinese consumer prices accelerated last month but the deflationary slump for producers deepened.

China's consumer price index ticked up to a year-on-year pace of 1.4 per cent in June, from 1.2 per cent in May, according to the government's official figures. That was just above the 1.3 per cent pace predicted by forecasters.

The reading is nevertheless below Beijing's target of "around 3 per cent" this year.

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