BEIJING - Chinese consumers, particularly those with bank cards, were slightly more confident in consumption in July, as inflation eased to the lowest level since February 2010, according to an index released Thursday.

The Bankcard Consumer Confidence Index (BCCI), compiled by the Xinhua News Agency and China UnionPay, a national bank card association, added 0.6point from one year earlier to reach 86.71 points in July.

On a month-on-month basis, the BCCI index edged up 0.04 point, according to the report.

The report said the improved confidence came from declining prices of farm products, more tourism and the country's subsidies to spur sales of home appliance and autos in rural areas.

The consumer price index (CPI), a main gauge of inflation, rose 1.8 percent year on year in July, marking the lowest level since February 2010, the National Bureau of Statistics (NBS) said Thursday.

Retail sales increased 13.1 percent year on year to 1.63 trillion yuan (about $257.15 billion) in July, the slowest pace since February last year, according to the NBS.

According to the report, an improved liquidity situation and continued consumption stimulus measures will further boost the confidence of consumers using bank cards.