Pork prices in China are about to rise again, the risk of exploding consumer inflation

According to a report in China Securities Journal, after a severe decline in the past year, the "price of pork" in the country of billions of people is gradually entering a new bullish cycle in 2022. Coupled with the impact of the previous rally on the general commodity market, a recovery in pork prices is likely to drag China's consumer price index (CPI) to new highs, analysts stressed. strong in the report. China's CPI has eased over the past year, largely due to the overwhelming impact of the plunge in pork prices. However, that may soon change as pig production declines. According to Bloomberg, the rapid increase in consumer price inflation will make it difficult for the People's Bank of China (PBoC) to add new stimulus to strengthen the economy in the second half of the year. According to commodity broker Huatai Futures, hog prices will start to increase in the second quarter due to a decrease in hog supply. Farmers will step up slaughtering before the Lunar New Year, which ...