Beijing Struggles to Shake Off Deflationary Pressures Despite Policy Pivot
Wall Street JournalSaturday, August 9, 2025 at 2:05:00 AM
Despite recent policy shifts aimed at boosting economic growth, China's capital, Beijing, is still grappling with deflationary pressures—a sign that consumer demand remains weak and the economy is struggling to regain momentum.
Editor’s Note: Deflation—where prices keep dropping—might sound good for shoppers, but it’s actually bad news for the economy. It means people and businesses hold off on spending, expecting things to get cheaper, which slows growth even more. Beijing’s struggle to shake this off suggests deeper economic challenges, even after policy changes. This matters because China is a global economic powerhouse, and prolonged weakness there could ripple through the world.
— Curated by the World Pulse Now AI Editorial System
