China's Deflation Deepens as Consumer Prices Plummet

China's consumer prices fell the fastest in three years in November, with the consumer price index (CPI) dropping 0.5% year-on-year and month-on-month, indicating rising deflationary pressures and weak domestic demand. The producer price index (PPI) also fell 3.0% year-on-year, marking the 14th straight month of decline. The data, along with recent mixed trade data and manufacturing surveys, has increased calls for further policy support to shore up growth. Economists warn of persistently sluggish demand and emphasize the need for China to prioritize sustainable and balanced growth.