Pork prices are surging in China

This current price surge is bringing back memories of China's 2011 inflation nightmare. Back then, the spike in pork prices - a major Chinese food staple - was the major contributor to the sharp inflationary pressures.

And on top of that, many are worried that the return of pork price inflation could bring China's monetary easing to a grinding halt.

But those fears are overblown.

"Our view is much more benign," writes Qu Hongbin, HSBC Chief Economist for Great China.

"[I]t will put year end CPI inflation at 2.1%, and full year average at 1.5%," writes Qu. "This will still be well below the official CPI target of 3% and leave ample room for further monetary easing."