Go Finance Reporting in BEIJING - China's inflation slowed in April 2011 to 5.3 percent compared with the previous March in the position of 5.4 percent. However, the realization of inflation is still higher than expected.
So, still the Chinese Government is still possible to take steps further economic tightening. Data prices of some goods and bank lending indicates the government has to anticipate rising inflation.
"April data appear mixed. Where industrial production weakened but remains a strong investment. From the view of the whole, the economic situation is still relatively quite hot," said economist with Shao Yu Hongyuan Securities, as quoted by Reuters, in Shanghai.
"The economic indicators April is not off the possibility the central bank will raise the reserve ratio or raising interest rates. I believe that the central bank will, at least, increase reserve requirements once in two months," he added.
Production of the industry in China in April slowed to 13.4 percent (year on year) from 14.8 percent in March. (GoFinance)
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