China’s Industrial Profits Surge as Reflation Offsets Cost Shock

China’s industrial enterprise earnings grew at a faster pace in March, supported by rebounding producer prices. The report suggests improving profitability despite cost pressures linked to the war in Iran. Overall, the article is a modestly positive read-through for China industrial activity and pricing conditions.

Analysis

China’s industrial enterprise earnings grew at a faster pace in March, supported by rebounding producer prices. The report suggests improving profitability despite cost pressures linked to the war in Iran. Overall, the article is a modestly positive read-through for China industrial activity and pricing conditions.