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Japan inflation rises to 1.9% in July, fueling rate hike expectations
Japan's inflation accelerated in July, with the headline Consumer Price Index (CPI) rising 1.9% year-on-year. This increase was driven by rising energy costs and food prices, including a 3.0% rise in items excluding fresh food. The core CPI, which excludes volatile fresh food prices, rose 1.8% year-on-year, marking its fifth consecutive month of growth.
Underlying inflation pressures are broadening, as the core-core CPI (excluding both fresh food and energy) climbed to 1.9%. This figure approaches the Bank of Japan's 2% target. Factors contributing to these price increases include a weak yen, which has raised import costs, and geopolitical tensions in the Middle East affecting energy supplies.
Economic data also shows strength in the private sector. S&P Global reported that Japan's composite PMI output index rose to 53.4 in August, the strongest growth since February. This combination of rising inflation and robust economic activity has strengthened market expectations that the Bank of Japan will raise interest rates, potentially from 1% to 1.25%, during its September meeting.
Entities
Bank of Japan · Donald Trump · International Monetary Fund · Japan · Japan Statistics Bureau · Ministry of Internal Affairs and Communications · S&P Global · Sanae Takaichi
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] Rice prices fell by 11.6% compared to the previous year. news.cube-soft.jp
- [● 12 SOURCES] Japan's overall CPI rose 1.9% year-on-year in July. www.adnkronos.com · bitcoinethereumnews.com · finance.technews.tw · www.fxstreet.cz · www.negocios.com · +7 more
- [● 12 SOURCES] Japan's CPI excluding fresh food and energy rose 1.9% year-on-year in July. www.adnkronos.com · bitcoinethereumnews.com · finance.technews.tw · www.fxstreet.cz · www.negocios.com · +7 more
- [● 12 SOURCES] Japan's CPI excluding fresh food was 1.8% year-on-year in July. npinvestor.dk · news.cube-soft.jp · www.adnkronos.com · bitcoinethereumnews.com · finance.technews.tw · +7 more
- [○ 1 SOURCE] Imported beef prices rose 11.0% due to the weak yen. news.cube-soft.jp
- [● 6 SOURCES] Energy prices rose 0.6% in July. news.cube-soft.jp · www.adnkronos.com · www.negocios.com · www.cnbcindonesia.com · www.finanzen.at · +1 more
- [● 10 SOURCES] The Bank of Japan is expected to raise interest rates in September. bitcoinethereumnews.com · finance.technews.tw · www.fxstreet.cz · www.negocios.com · npinvestor.dk · +5 more
- [● 6 SOURCES] Japan's headline CPI rose 1.9% year-on-year in July. www.adnkronos.com · www.japantimes.co.jp · www.negocios.com · www.actionforex.com · www.cnbcindonesia.com · +1 more
- [● 8 SOURCES] The Bank of Japan is expected to raise interest rates to 1.25% at its September meeting. www.japantimes.co.jp · finance.technews.tw · www.fxstreet.cz · www.cash.ch · www.epochtimes.com · +3 more
- [○ 1 SOURCE] Imported beef prices rose 11.0% year-on-year in July. news.cube-soft.jp
- [● 2 SOURCES] Food prices excluding fresh items rose 3.0% year-on-year in July. www.adnkronos.com · www.actionforex.com
- [● 13 SOURCES] Japan's core CPI (excluding fresh food) rose 1.8% year-on-year in July. www.adnkronos.com · finance.technews.tw · www.fxstreet.cz · www.negocios.com · npinvestor.dk · +8 more