(Reuters) – China’s annual consumer inflation unexpectedly slowed in November, easing market fears of any imminent policy tightening as authorities meet this week to outline their policy and reform priorities for 2014.

Rising money market rates and bond yields indicate the People’s Bank of China (PBOC) is tightening liquidity conditions, to reduce debt levels and contain credit growth, but there is little sign of a sharp turnaround in monetary policy.

Annual consumer inflation unexpectedly slowed to 3 percent in November from an eight-month high of 3.2 percent, the National Bureau of Statistics said on Monday. Analysts had expected the inflation rate to hold steady at October’s level.

“Inflation will not be a big problem in the coming months and we expect monetary policy to stay neutral,” said Luo Wenbo, an economist at Xiangcai Securities in Shanghai.

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