AI Data Insight
According to the latest data released by DataTrack, China's Q2 2026 PPI index surged to 104.1 (a 4.1% YoY increase), further expanding from the previous value of 103.9. This not only significantly outperforms market consensus but also completely bids farewell to the deflationary trough. This round of inflation rebound is primarily led by upstream sectors such as mining and raw materials, reflecting geopolitical premiums and the demand for AI equipment upgrades. Looking ahead, high vigilance is required regarding the risk of a profit squeeze on downstream enterprises caused by the widening "scissors gap" between upstream and downstream sectors.