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The prospect of deflation, after decades of rapid expansion, has loomed over the world's second-biggest economy since July's consumer prices reverse.   © Nikkei montage/Source photo by Getty Images
Asia Insight

China deflation dread stalks property trade, struggling firms

Summer CPI gloom leaves consumers, markets bracing for impact of weak demand

CISSY ZHOU, Nikkei staff writer | China

HONG KONG -- If the specter of deflation has yet to chill the whole of China, it has already spooked Rebecca Zhang.

Just a few weeks after putting an aging apartment up for sale in Beijing, Zhang has had to lower her asking price. Having received only one vague inquiry, she fears if she can't sell now prices will only go lower.

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