July 2019 producer prices PPI and consumer price index CPI

China’s July food prices jumped 9.1% from a year ago, data from the National Bureau of Statistics showed on Friday, as the country battles soaring pork prices amid the spread of African swine fever.

In comparison June, food prices rose 8.3% from a year ago. Non-food items in July were 1.3% higher, government data showed.

Overall, China’s Consumer Price Index (CPI) rose 2.8% from a year ago in July, slightly higher than the 2.7% analysts in a Reuters poll had expected.

China’s Producer Price Index (PPI) fell 0.3% in July from a year ago, compared to the 0.1% decline analysts in the Reuters poll had expected.

That was the first time China’s PPI — a gauge of corporate profitability — fell in three years, adding to concerns of deflationary risks in the world’s second largest economy.

This comes as China and the U.S. continue to be locked in a prolonged tariff battle that has dragged on for more than a year. Both countries have slapped additional levies on billions of dollars worth of each other’s goods, and the escalating tensions have spooked world markets and hurt the outlook for global economic growth.

This is breaking news. Please check back for updates.