China's CPI/PPI: Not expecting sharp declines - RBS

FXStreet (Bali) - China's CPI/PPI will be the main focus durign Asia, with RBS Economists not expecting any sharp declines.

Key Quotes

"China releases CPI and PPI for March and is also scheduled to release money supply and FX reserves data at some point over the next several days."

"While we think that nearterm risks to growth in China remain on the downside, which is among the key contributors to our bearish AUD fundamental view, we do not expect significant sharp declines in CPI."

"Our economists see considerable pricing power in both the services and consumer-facing sectors in China, reducing the likelihood of outright deflation in China."