China's factory-gate deflation eased in October

Analysts warn that deflationary pressures on the world's second-largest economy aren't over. Photo: AP PHOTO

China's producer price deflation eased in October and consumer prices returned to positive territory, as the government steps up efforts to curb over-capacity and cut-throat competition among firms.

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Despite the improvement in headline numbers, analysts warn that deflationary pressures on the world's second-largest economy are not yet over, and the government may have to roll out additional policy measures to spur demand.

"Demand remains weak but a rebound in CPI indicates th