Latest news with #consumerinflation
CNA
10-07-2025
- Business
- CNA
Japan's wholesale inflation slows, relieves interest rate-hike pressure
TOKYO :Japan's annual wholesale inflation slowed in June for the third successive month, data from the Bank of Japan showed on Thursday, backing up the central bank's view that price pressure from rising raw material costs will gradually dissipate. While food prices continued to rise steadily, some analysts said they expect inflationary pressure to moderate in coming months as pain from U.S. tariffs on Japan's economy intensifies. "As wholesale inflation slows, consumer inflation will likely face stronger downward pressure with some lag," said Masato Koike, senior economist at Sompo Institute Plus. "Japan's trade talks with the U.S. seem deadlocked, so it will likely take time for uncertainty to fade. By then, consumer inflation will slow and make it hard for the Bank of Japan to raise interest rates," Koike said. The corporate goods price index, which measures the price companies charge each other for their goods and services, rose 2.9 per cent in June from the same month a year earlier, the data showed, matching a median market forecast. The index, a leading indicator of consumer inflation, slowed from a revised 3.3 per cent in May due partly to falling prices of fuel and metal products, the data showed. The yen-based import price index dropped 12.3 per cent in June from a year earlier, after a 10.3 per cent decline in May, indicating the currency's rebound pushed down raw material import costs. Food and beverage prices rose 4.5 per cent in June on stubbornly high cost of rice, though it slowed from a 4.7 per cent increase in May, the data showed. The BOJ ended a decade-long stimulus programme last year and in January raised its policy interest rate to 0.5 per cent on the view that inflation was on the cusp of durably meeting its 2 per cent target. While the BOJ expects food inflation to moderate this year, it has signalled readiness to raise the interest rate again once the economy resumes a recovery on solid wage gain. The core consumer inflation rate hit a more than two-year high of 3.7 per cent in May, remaining above the BOJ's 2 per cent target for well over three years, due largely to a surge in food costs.
CNA
02-07-2025
- Business
- CNA
South Korea June inflation beats forecasts
SEOUL :South Korea's consumer inflation accelerated in June to its fastest pace since January this year, government data showed on Wednesday, beating market expectations. The consumer price index rose 2.2 per cent in June from a year earlier, after rising 1.9 per cent in May, according to Statistics Korea.
Reuters
02-07-2025
- Business
- Reuters
South Korea June inflation beats forecasts
SEOUL, July 2 (Reuters) - South Korea's consumer inflation accelerated in June to its fastest pace since January this year, government data showed on Wednesday, beating market expectations. The consumer price index rose 2.2% in June from a year earlier, after rising 1.9% in May, according to Statistics Korea.
Wall Street Journal
27-06-2025
- Business
- Wall Street Journal
Tokyo Consumer Inflation Eases But Stays Well Above BOJ's Target
TOKYO–Consumer inflation in the Tokyo metropolitan area eased in June but remained firmly above the Bank of Japan's 2% target, leaving the central bank balancing on a policy tightrope. Core consumer prices in Tokyo–excluding fresh food–climbed 3.1% in June from a year earlier, compared with May's 3.6% increase, government data showed Friday. That was lower than a 3.3% rise expected in a poll of economists by data provider Quick.
CNA
23-06-2025
- Business
- CNA
Japan's retail rice prices fall below 4,000 yen, hitting prime minister's target
TOKYO :Japan's average retail rice prices fell below 4,000 yen ($27) for the first time in four months, data showed on Monday, after the government released an emergency stockpile of rice to tackle food inflation ahead of a national election. The supermarket price of rice per 5kg dropped by 6.1 per cent to 3,920 yen in the seven days to June 15, marking the fourth straight week of decreases to reach a level last seen in February, according to the farm ministry. With that, Prime Minister Shigeru Ishiba achieved a target set last month to bring the price of staple Japanese grain to below 4,000 yen. Rice prices have doubled since last year, creating a political challenge for Ishiba as he faces an upper house election in late July. The vote could be critical for his coalition's chances of survival, after it lost its majority in the more powerful lower house in October. Last month, a new farm minister ended a system of distributing emergency rice via auction and switched to discretionary contracts with retailers so that consumers would pay about 2,000 yen per 5kg. That stockpiled rice first became available through some retailers on May 31, selling out quickly. Rice prices leapt in part because of a poor-quality harvest due to extreme heat in 2023, which led to a shortage of rice in the market around the middle of last year. The spike in rice costs has driven Japan's food and overall consumer inflation in recent months, data has shown, complicating the Bank of Japan's rate hike schedule as economic pressure from U.S. tariffs looms. ($1 = 147.7200 yen)
