Japan’s inflation gauge rises further‘COST-PUSH INFLATION’: An analyst said that service prices are still not increasing much, so today’s data would not make the Bank of Japan rethink its policy plansBloombergJapan’s key inflation gauge rose further above the central bank’s target level of 2 percent, a result that will likely keep speculation smoldering over possible policy adjustments, despite Bank of Japan (BOJ) Governor Haruhiko Kuroda’s continued commitment to ultra-low rates. Still, the ongoing gains above the price target pose a communications challenge for the Bank of Japan. Processed food contributed about three-quarters of a percentage point to overall inflation, helping nudge the figure up. It then sees inflation weakening below its goal in the following year, a sign that sufficient price gains will not last. With the central bank hunkering down on its position, the Japanese government has stepped in to help rein in soaring power and food prices.

Source: Taipei Times July 23, 2022 01:16 UTC