Current Events Summary #4

Due to the 17.6% increase in food prices as a result of food shortages, inflation has risen .3% to 6.5%. This is the highest increase in over 11 years. The main cause of this increase is the 55% price increase of pork, which is a key ingredient in many Chinese dishes. In an attempt to lower inflation banks are now keeping more money in the reserves in order to allow for less available for loans.
On a brighter note China's trade surplus has reached a new high, rising 13.6% more than last month. The trade is now at $27bn. PetroChina, an olil company, saw its shares increase by more than double, rising from 16.7 to 43.96 yuan. This increase gives the company a market value of about $1 trillion.
China raised fuel prices by 10% in an attempt to to ease the countries depleted supply. They hope this increase will cause refiners to increase production, which in turn, would ease the rationing at the stations.