China Inflation Hits 1.2% in April, Exceeding Expectations Amid Conflict

In April, China's consumer prices rose by 1.2% year-over-year, surpassing the expected 0.9% increase, according to the National Bureau of Statistics. Producer prices also climbed 2.8%, exceeding the forecast of 1.6%. This inflationary surge is attributed to rising global commodity prices driven by the ongoing conflict in the Middle East, particularly impacting energy costs. While export growth accelerated to 14.1% year-over-year in April, domestic demand shows signs of weakness, with retail sales growth slowing to 1.7%.