China’s factory deflation eased for the first time in six months even as consumer prices slipped below zero again, leaving open the question of whether the government will make a lasting difference with its campaign to ease overcapacity across the economy.
The producer-price index decreased 2.9% in August from a year earlier, the National Bureau of Statistics said Wednesday, remaining in negative territory for the 35th straight month but narrowing its decline from July’s 3.6% drop.