China CPI 4.9%, PPI 6.6%, Money Supply Up 53% in Two Years

The latest numbers show inflation is soaring out of control in China. The CPI is up 4.9% year-over-year, up from 4.6% in December. The PPI clocked in at 6.6% compared with 5.9% last month.

Things are even worse than they appear at first glance because China manipulated its CPI basket to reduce the impact of soaring food prices. Thus, China's CPI numbers are not directly comparable to previous months.