China's price data and financial data were released one after another in March, but the signals were different. CPI and PPI both fell back year-on-year, with CPI hitting an 18-month low and PPI in the negative growth range for six consecutive months, triggering the discussion of "whether China is in deflation". But at the same time, both credit and social finance in March exceeded expectations of high growth, with M2 still at a high level of 12.7%. The situation of strong credit and wide money is clear.
Devin Wang
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Is China's Economy in Deflation?
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