China data today signals the recovery is not strong enough to boost prices

That's the Bloomberg take on the consumer and producer inflation data from China earlier:

• China May CPI 2.4% (vs. 2.7% expected)

Recap via the report, in brief:

• China's factory deflation deepened in May and consumer price gains slowed, signaling that the recovery isn't yet strong enough to produce inflation pressures.
• Core inflation unchanged at 1.1%.
• PPI deflation will continue due to the severe slump in demand caused by the coronavirus outbreak
• CPI will slow in H2
• "Falling CPI inflation and continued PPI deflation will provide Beijing with more policy space to roll out policy easing/stimulus measures to offset the impact of Covid-19 on the economy."