UPDATE 1 — China producer inflation beats forecasts as commodity costs rise, CPI lags

(Rewrites with milestone, details and context) BEIJING, Oct 14 (Reuters) — China's producer prices rose at their fastest pace in more than four years in September while consumer inflation edged up, as higher oil and commodities lifted factory-gate costs even as weak domestic demand kept broader price pressures contained. The data suggests prices are revving up for manufacturers, but weak consumer demand continues to restrain inflation, reinforcing concerns that China still faces an uneven recovery driven more by exports than spending.

Household spending remains subdued and private-sector confidence fragile despite a series of stimulus measures, underscoring persistent weakness in domestic demand and broader economic imbalances. 5% rise in a Reuters poll. That marks the fastest pace of factory-gate inflation since June 2022. Higher oil and commodity prices, driven by transport disruptions, adverse weather and geopolitical tensions, have increased cost pressures for manufacturers, though sluggish demand has limited the pass-through to consumers.

8% increase in August, and came in below economists' forecast for a 1% rise. 4% increase in August. While consumer prices showed signs of firming, price growth remains muted, suggesting households are still cautious about spending. 15 billion) in unused local government bond quota for infrastructure and other spending, adding to measures such as mortgage subsidies.

Core inflation, which excludes volatile food and energy prices, was up 1% on year, unchanged from August. com;)