{"id":130500,"date":"2021-06-29T04:13:59","date_gmt":"2021-06-29T04:13:59","guid":{"rendered":"https:\/\/precoinnews.com\/?p=130500"},"modified":"2021-06-29T04:13:59","modified_gmt":"2021-06-29T04:13:59","slug":"rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/","title":{"rendered":"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan"},"content":{"rendered":"<ul>\n<li>Alex Wolf of JPMorgan Private Bank says there has historically been an unclear relationship between producer and consumer prices in China.<\/li>\n<li>Wolf said &quot;the only time&quot; historically that producer inflation has has trickled down into consumer prices is &quot;when there&#x27;s really strong consumer demand&quot; \u2014 a situation that seems implausible at present given the sluggish recovery in Chinese retail sales.<\/li>\n<\/ul>\n<p>The recent surge in producer prices in China will not likely to drive up costs for consumers, says JPMorgan Private Bank&#x27;s Alex Wolf.<\/p>\n<p>&quot;We don&#x27;t see (producer inflation) really going into consumer prices. They&#x27;ve risen a bit, but we don&#x27;t see much of a further rise in consumer prices that would force the (People&#x27;s Bank of China) to act in any way,&quot; said Wolf, who is head of investment strategy for Asia at the firm.<\/p>\n<p>Producer inflation &quot;has likely peaked and likely come down,&quot; while consumer prices in some cases are also appearing to peak, he told CNBC&#x27;s &quot;Street Signs Asia&quot; on Monday.<\/p>\n<h2>Read more about China from CNBC Pro<\/h2>\n<p>JPMorgan picks its favorite Chinese stocks on everything from hydrogen to EV batteries<\/p>\n<p>Wedbush says Tesla faces a &#x27;moment of truth&#x27; in China with recall<\/p>\n<p>Jim Cramer says he feels better about Apple&#x27;s China exposure after Nike earnings<\/p>\n<p>Soaring production costs in China, largely due to surging commodity prices, have cut into profits for manufacturers. Official data released over the weekend showed profits at China&#x27;s industrial firms rose 36.4% in May compared to a year earlier \u2014 slower than the 57% year-on-year growth posted in April.<\/p>\n<p>Meanwhile, data released in early June showed China&#x27;s\u00a0producer price index in May jumped 9% compared to a year ago \u2014 the fastest clip since 2008, while the consumer price index climbed 1.3% year-on-year in May. It was the largest gap on record between the speed at which producer prices and consumer prices climbed.<\/p>\n<p>&quot;There&#x27;s not a very clear relationship between producer prices and consumer prices historically,&quot; Wolf said.<\/p>\n<p>&quot;You&#x27;ve only seen a few instances where high producer prices do trickle down to consumer prices,&quot; he said. &quot;Producer prices are almost entirely driven by commodity prices.&quot;<\/p>\n<p>He added that &quot;the only time&quot; historically that producer inflation has has trickled down into consumer prices is &quot;when there&#x27;s really strong consumer demand&quot; \u2014 a situation that seems implausible for now given the sluggish recovery in Chinese retail sales.<\/p>\n<p>Source: <a href=\"https:\/\/www.cnbc.com\/2021\/06\/29\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan.html\" target=\"_blank\" rel=\"noopener\">Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Alex Wolf of JPMorgan Private Bank says<\/p>\n","protected":false},"author":3,"featured_media":130499,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23051],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News\" \/>\n<meta property=\"og:description\" content=\"Alex Wolf of JPMorgan Private Bank says\" \/>\n<meta property=\"og:url\" content=\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/\" \/>\n<meta property=\"og:site_name\" content=\"Pre Coin News\" \/>\n<meta property=\"article:published_time\" content=\"2021-06-29T04:13:59+00:00\" \/>\n<meta name=\"author\" content=\"mediabest\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/06\/Rising-producer-prices-in-China-wont-likely-drive-up-consumer-costs-says-JPMorgan.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"mediabest\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/\",\"url\":\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/\",\"name\":\"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News\",\"isPartOf\":{\"@id\":\"https:\/\/precoinnews.com\/#website\"},\"datePublished\":\"2021-06-29T04:13:59+00:00\",\"dateModified\":\"2021-06-29T04:13:59+00:00\",\"author\":{\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\"},\"breadcrumb\":{\"@id\":\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/precoinnews.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Business\",\"item\":\"https:\/\/precoinnews.com\/category\/business\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/precoinnews.com\/#website\",\"url\":\"https:\/\/precoinnews.com\/\",\"name\":\"Pre Coin News\",\"description\":\"precoinnews.com\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/precoinnews.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\",\"name\":\"mediabest\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"caption\":\"mediabest\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/","og_locale":"en_US","og_type":"article","og_title":"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News","og_description":"Alex Wolf of JPMorgan Private Bank says","og_url":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/","og_site_name":"Pre Coin News","article_published_time":"2021-06-29T04:13:59+00:00","author":"mediabest","twitter_card":"summary_large_image","twitter_image":"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/06\/Rising-producer-prices-in-China-wont-likely-drive-up-consumer-costs-says-JPMorgan.jpg","twitter_misc":{"Written by":"mediabest","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/","url":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/","name":"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan - Pre Coin News","isPartOf":{"@id":"https:\/\/precoinnews.com\/#website"},"datePublished":"2021-06-29T04:13:59+00:00","dateModified":"2021-06-29T04:13:59+00:00","author":{"@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a"},"breadcrumb":{"@id":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/precoinnews.com\/business\/rising-producer-prices-in-china-wont-likely-drive-up-consumer-costs-says-jpmorgan\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/precoinnews.com\/"},{"@type":"ListItem","position":2,"name":"Business","item":"https:\/\/precoinnews.com\/category\/business\/"},{"@type":"ListItem","position":3,"name":"Rising producer prices in China won&#x27;t likely drive up consumer costs, says JPMorgan"}]},{"@type":"WebSite","@id":"https:\/\/precoinnews.com\/#website","url":"https:\/\/precoinnews.com\/","name":"Pre Coin News","description":"precoinnews.com","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/precoinnews.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a","name":"mediabest","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","caption":"mediabest"}}]}},"_links":{"self":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/130500"}],"collection":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/comments?post=130500"}],"version-history":[{"count":0,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/130500\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media\/130499"}],"wp:attachment":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media?parent=130500"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/categories?post=130500"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/tags?post=130500"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}