China's consumer price index in February missed expectations and fell at the sharpest pace in 13 months, while producer price deflation persisted, as seasonal demand faded and households remained cautious about spending amid job and income worries.

Chinese Premier Li Qiang last week delivered an annual report on government work that named boosting consumption as the top task for the year ahead. The state planner calls for efforts to "increase spending power" and encourage the development of products and scenarios that would encourage consumers to spend.