MNI BRIEF: China's CPI To Remain Low In Short-Term: Official

China's consumer prices may remain relatively low in the short term due to the high base last year but in general, prices will remain stable as there is abundant supply of major industrial and agricultural products, said Meng Wei, spokeswoman of the National Development and Reform Commission at a briefing on Wednesday.

China's CPI fell 0.5% y/y in November for the first time in 11 years. Any price increase in the upcoming new year holidays will be modest given the recovery in hog production and sufficient vegetable supply, Meng said, adding that the NDRC will strengthen price monitoring and punish price hikes.

Referring to the sharp hike in coal prices in the spot market, Meng said that wouldn't affect domestic users. "More than 80% of the current coal supply follows medium and long-term contracts," said Meng, The NDRC will increase supply if necessary to stabilise the price at a more reasonable level, she added.