BEIJING, Oct 13 Reuters China39;s consumer prices were flat in September, while factorygate prices shrank at slower pace, official data showed on Friday, indicating deflationary pressures persist in the economy.

The consumer price index CPI was unchanged in September from a year earlier, data from the National Bureau of Statistics showed, missing the forecast for a 0.2 gain in a Reuters poll. CPI rose 0.1 in August.

The producer price index PPI fell 2.5 from a year earlier, the narrowest decline since March. Economists had predicted a 2.4 fall for September.

Signs are emerging that the world39;s secondlargest economy is stabilising, but concerns over the strength of recovery momentum remain.

Reporting by Qiaoyi Li, Ellen Zhang and Ryan Woo. Editing by Sam Holmes

Source Reuters