China’s consumer prices plunged to their lowest level in over a year, highlighting persistent deflation pressures in the world's second-largest economy. The Consumer Price Index (CPI) fell by 0.7% in February YoY, the National Bureau of Statistics (NBS) reported, reversing January's 0.5% increase and marking the first contraction since January 2024. The decline was partly influenced by the earlier-than-usual Lunar New Year holiday falling entirely in January this year. The decline also prompted policymakers at the National People's Congress to emphasize consumer stimulus.