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China's December inflation forecast at 2.3%
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CHINA'S Consumer Price Index (CPI), a main gauge of inflation, is likely to increase 2.3 percent year on year in December, staying flat with November, according to an industry report.
Annual CPI growth will be around 2 percent, well below the official target of around 3 percent, said Lian Ping, chief economist with the Bank of Communications, in a report.
Food prices, accounting for one-third of the CPI calculation, will be a major driver pushing up consumer prices in December, as surging demand ahead of New Year's Day and the Spring Festival holiday will boost consumption.
Non-food prices will edge up by 1.8 percent to 2 percent in December, Lian said.
China's CPI grew 2.3 percent year on year in November, up from October's 2.1 percent, according to the National Bureau of Statistics.
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