The Chinese National Bureau of Statistics released its consumer and producer price inflation data for China on Thursday. The Chinese consumer price index (CPI) rose at annual rate of 2.0% in August, exceeding expectations for a 1.8% increase, after a 1.6% gain in July.

The increase was driven by rises in food prices. Food prices rose at an annual rate of 3.7% in August, while non-food prices increased 1.1%.

On a monthly basis, consumer price inflation increased 0.5% in August, after a 0.3% rise in July.

The Chinese producer price index (PPI) dropped 5.9% in August, missing forecasts of a 5.5% fall, after a 5.4% decline in July. It was the biggest decline since 2009.