Chinese growth fears mount as inflation surges

The news is expected to put pressure on export prices, heighten lower growth concerns and add to calls for the Chinese authorities to appreciate the yuan. The National Bureau of Statistics revealed the high inflation was driven by an 18.2% food price increase, no doubt compounded by the country’s recent devastating snowstorms. In a client note this morning, Goldman Sachs economists Yu Song and Hong Liang fear February inflation "is likely to be much higher than 7%, and might even get close to double-digit levels”. Earlier this month the World Bank revised down its 2008 Chinese growth ...