China's factory gate prices saw their largest increase since 2022, exceeding expectations due to rising oil costs. Meanwhile, consumer price inflation remained stable, below forecasts.

China’s factory gate prices rose by the most since 2022, surpassing expectations, as higher oil costs stemming from the war in Iran help manufacturers escape years of deflation. The producer price index rose by 3.9 per cent from a year earlier in May, more than the 3.5 per cent forecast of economists surveyed by Wind. Consumer prices rose by 1.2 per cent, the same as in April and below the 1.4 per cent forecast. Manufacturers have raised prices for three months in a row after the conflict in the...