China November inflation edges up; factory prices stay low

Beijing

CHINA'S consumer price index (CPI) edged up last month but prices at factory gates remained at a six-year low, suggesting oversupply still weighs on the economy, according to figures published by the National Bureau of Statistics.

The consumer price index rose 1.5 per cent last month from a year ago. That was higher than the 1.3 per cent rise in October and higher than a Bloomberg forecast of 1.4 per cent.

For the past year, prices have been pressured down by overcapacity in all of China's industries, falling commodity and energy prices, as well as weak domestic demand. Deflationary pressures have been mounting, moving from factory gate…