Tag: Japan

TOKYO, July 21 (Reuters) – Japan’s core inflation stayed above the central bank’s 2% target in June for the 15th straight month but an index stripping away the effect of energy costs slowed, data showed, suggesting the prolonged commodity-driven price pressures may have peaked.

Japan PPI, AKA Corporate Goods Price Index, for June 2023. This is ‘wholesale’ level inflation, the price that firms charge each other for products.

Core inflation in Japan’s capital perked up in June and remained above the central bank’s 2% target for the 13th month, a sign price hikes were spreading to broader sectors of the economy and keeping policymakers pressured to dial back ultra-easy policy.

Japanese retail sales rose 5.7% in May from a year earlier, up for a 15th straight month and roughly in line with the median market forecast for a 5.4% gain, government data showed on Thursday.

Japan’s stock markets have been testing new highs not seen since 1990 — evoking memories of its “bubble economy” right before the country plunged into its so-called “lost decade.”

Japan’s economy grew an annualized 2.7% in the first quarter of the year, expanding further than earlier estimates of 1.6% made last month, government data showed Thursday.

A fresh bout of weakness in Japan’s currency has lead some market watchers to predict more sizeable interventions by the country’s central bank as it persists with its ultra-dovish policy in a world of high rates and high inflation.

Japan’s businesses increased spending for a fourth straight quarter in another sign of the country’s recovery from the pandemic, an outcome that supports earlier data showing robust investment appetite among firms.

Japan core machinery orders fell in March for a second straight month, indicating firms’ cautious about capital spending amid worries about the global economic slowdown.

Japan’s economy emerged from recession and grew faster than expected in the first quarter as a post-COVID consumption rebound offset global headwinds, shoring up hopes for a sustained recovery.

Toyota Motor Corp on Wednesday said it expects operating profit to climb 10% this business year, with a five-fold jump in pure electric vehicle (EV) sales amid an easing in global supply chain disruption from a shortage of chips.

Finance leaders of the Group of Seven (G7) advanced economies will discuss this week ways to strengthen the global financial system, Japan’s finance minister said on Tuesday, as recent U.S. bank failures bring the risk of digital bank runs into focus.

Japan’s consumer spending unexpectedly fell in March at the fastest rate in a year, while real wages marked a twelfth month of decline on persistent inflation, highlighting the challenges facing the economy in mounting a strong post-COVID revival.