BEIJING (Reuters) -China’s consumer prices fell in September while producer deflation persisted, as prolonged domestic weakness and renewed trade tensions weighed on consumer and business confidence.

The consumer price index (CPI) dipped 0.3% last month from a year earlier, National Bureau of Statistics data showed on Wednesday, versus a 0.2% fall in a Reuters poll of economists. It had dropped 0.4% in August.

On a monthly basis, CPI was up 0.1%, versus no change in August, and below a forecast 0.2% increase.

Producer prices (PPI) fell 2.3% year-on-year in September compared with a 2.9% fall in August, in line with economists’ expectations.

(Reporting by Zhang Yukun, Qiaoyi Li and Ryan Woo; Editing by Jacqueline Wong)

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