China’s consumer price index (CPI) advanced 1.6 percent and its producer price index (PPI) declined 5.4 percent in July, the National Bureau of Statistics reported Sunday. Because of the balance between deflationary and inflationary pressures, the country’s fiscal and monetary authorities appear well-positioned to do even more in the way of economic and market stimulus, consistent with that provided by the People’s Bank of China in a series of moves made during the past year or so.
