Inflation expectations in China up on recent price increases

China National Development and Reform Commission, the country economic planner, said Thursday (August 27) that inflationary expectations have risen.

"The overall inflation expectation has increased, affected by recent price rises, high credit growth, and the stock market and property rebound," the NDRC said in a statement on its Web site.

The commission said local pricinga regulators should closely monitor movements in market prices and maintain stable prices for some key products.

It added that overall price levels are unlikely to rise significantly as the country supply and demand are basically in balance and grain reserves are sufficient.