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China's May inflation falls to 3 percent from April's 3.4 percent, giving room for stimulus
BEIJING (AP) ' China's inflation rate fell further in May, giving the government more leeway for stimulus to reverse a deepening economic slump.
Data on Saturday showed consumer prices rose 3 percent, down from April's 3.4 percent.
Inflation in politically sensitive food prices eased to 6.4 percent from the previous month's 7 percent.
The decline gives authorities more room for stimulus measures to reverse a worsening economic downturn. The government cut interest rates this week for the first time in nearly four years and has promised to pump money into the economy through more spending on building low-cost housing and other projects.