BANGKOK (AP) - Asian stock markets rose today after China's inflation rate eased, adding to hopes that Beijing will do more to stimulate the world's No. 2 economy.
China said its consumer price index rose 1.8 percent in July, down from the previous month's 2.2 percent and well below last year's highs. Lower inflation gives Beijing more room to cut interest rates or take other steps to shore up economic growth that has slowed sharply this year, analysts said.
Inflation is politically dangerous for China's leaders, since rising prices for food and other necessities carries the potential for unrest among tens of millions of poor families that spend up to half their incomes on food. Inflation also erodes economic gains that help underpin the Communist Party's claim to power.
Benchmark crude oil rose to stay above $93 per barrel. The dollar fell against the euro and the yen.
First Coast News