China's economy grew 10.7 per cent in the fourth quarter from the same period a year earlier but the strong growth was accompanied by higher inflation, raising fears that Beijing may introduce stronger measures to avoid economic overheating.
China's consumer prices rose 1.9 per cent in December from a year earlier, a rapid acceleration from the 0.6 per cent increase in November, when the consumer price index swung back into inflationary territory after nine months of deflation.
Producer prices rose 1.7 per cent year-on-year in December, well up from November's 2.1 per cent fall.
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