Analysts at Nomura note that the gap between PPI and CPI inflation continued to widen in June as the producer price index (PPI) inflation rose to 4.7% y-o-y in June from 4.1% in May, while CPI inflation ticked up to 1.9% from 1.8%. Key Quotes “Rising oil prices (Brent up 64% y-o-y in June from 55% in May) contributed to the rise in both PPI and CPI inflation.” “Looking ahead, we expect PPI inflation to fall in H2 on a high base in H2 2017, a stable oil price and weakening end-demand, and CPI inflation to stay at a subdued ~2% as household purchasing power is weighed on by a rising debt burden.” “Though the trade conflict with the US might add some upward pressure on CPI inflation, we believe the government is likely to introduce special measures such as returning the charged 25% tariffs on some agricultural products to importers.” “We maintain our call of low inflation risk this year and expect Beijing to introduce more policy easing measures to arrest the growth slowdown and soothe volatile markets.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next BoC: Few hikes are seen after this week – AmpGFX FX Street 4 years Analysts at Nomura note that the gap between PPI and CPI inflation continued to widen in June as the producer price index (PPI) inflation rose to 4.7% y-o-y in June from 4.1% in May, while CPI inflation ticked up to 1.9% from 1.8%. Key Quotes "Rising oil prices (Brent up 64% y-o-y in June from 55% in May) contributed to the rise in both PPI and CPI inflation." "Looking ahead, we expect PPI inflation to fall in H2 on a high base in H2 2017, a stable oil price and weakening end-demand, and CPI inflation to stay at a subdued… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.