China's January PPI up 5.8%

China’s January PPI up 5.8%

China's January 2005 producer price index (PPI) rose 5.8% year-on year, China's National Bureau of Statistics said today. According to the report, the purchase prices of raw materials, fuel and power jumped 10.7% year-on-year. The growth rate of crude and refined oil prices saw obvious declines in January. Crude oil costs rose 19.1% in January 2005, after climbing 35.6% in December 2004. Analysts indicate that the easing of inflationary pressures means that Beijing is likely to leave interest rates unchanged for now.