Inflation in China remained steady in June, in line with analysts expectations and sending Asian markets up at the start of the week.

The producer price index (PPI) rose 5.5 percent in June year-on-year, according to the National Bureau of Statistics (NBS), unchanged on May’s figure.

Consumer prices rose 1.5 percent, in line with expectations, giving investors confidence that the country will meet its 6.5 percent growth rate for 2017.

However Capital Economics analyst Julian Evans-Pritchard told the BBC that the positive figures may not last:

“With slowing credit growth likely to weigh on economic activity in coming quarters we think that, volatility in food prices aside, inflation still has further to fall.

“This will disappoint those hoping for a sustained period of reflation that could help to erode corporate debt burdens.”