AI Data Insight
In Q3 2026, the latest contribution of China's housing category to CPI MoM growth was -0.0663 percentage points, flat compared to the previous reading and remaining deeply in negative territory. Both home prices and rents declined, making housing a rare contracting non-food category in overall prices. Analysts warn that without strong policy stimulus, shrinking real estate wealth may expose China to risks of prolonged deflation and "Japanification."