Coming up at 0130 GMT, China inflation figures for April
Quite the divergence in expectations. The PPI is ramping higher on the back of the surging prices of commodities
- copper, tin, iron ore, plastics prices to producers in China (and elsewhere of course) have risen to the highest in a decade
- supply constraints are a factor on this, along with rocketing demand
The impact on downstream pricing is lagging, hence the much expectations for the CPI. Much lower pork prices is a key holding down consumer inflation in China.
The data release is unlikely to impact major FX rates too much (barring any shock results).
This article was originally published by Forexlive.com. Read the original article here.