China’s December producer prices accelerate at fastest pace in over 5 years

BEIJING: China’s producer prices surged the most in more than five-year highs in December and by more than expected as prices of coal and other raw materials soared, while consumer inflation remained subdued.

The pick-up in prices reinforces views that the world’s second-largest economy continues to show signs of stabilisation, underpinned by stronger factory activity and domestic demand which is being fueled by a lending and building boom.