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    CPI is 'high on the hog'

    By Yu Yongding | China Daily | Updated: 2011-08-01 08:20

    Inflation may peak soon, but complacency would be risky as economic problems are more structural than cyclical

    As the debt crises in Europe and the United States grows and the global economic recovery falters, inflation, together with the dire political consequences it will bring, is making a comeback worldwide. Indeed, emerging market economies are bracing themselves for a serious fight.

    China's consumer price index (CPI) jumped 6.4 percent year-on-year in June, reaching its highest level since July 2008. Against the backdrop of a shaky global recovery, concerns have grown about monetary tightening aimed at controlling inflation resulting in a possible hard landing for the Chinese economy.

    CPI is 'high on the hog'

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