- September wholesale price +6.3% y/o f’cast +5.9%
- The increase reflects an increase in the extent of raw material costs.
- Soft household spending keeps consumer inflation low
TOKYO, Oct 12 (Businesshala) – Japan’s wholesale prices rose 6.3% in September from a year earlier as raw material costs continued to rise, data showed on Tuesday, indicating that global commodity inflation is down for corporates. squeezing the line.
Growth in the Corporate Goods Price Index (CGPI), which measures the price companies charge each other for their goods and services, exceeded the average market forecast for a 5.9% gain and accelerated from a revised 5.8% increase in August Went.
Prices of domestic final goods, which loosely track the consumer price index, rose 1.8% from a year ago, Bank of Japan data showed.
Gains in the CGPI were driven by an increase in prices for a wide range of raw material goods including timber, fuel and non-ferrous metals, the data showed, while companies passed rising costs solely to consumers due to weak demand. have been unable to.
Japan’s economy is slowly recovering from strong external demand, but rising input costs, supply constraints and weak consumption have clouded the outlook.
Soft household spending has kept consumer inflation in Japan hovering near zero, unlike other major economies that have seen prices rise on strong demand and supply constraints.