Japan’s wholesale inflation touches 13-year high
Japan’s wholesale prices climbed at their fastest annual pace in 13 years in July, the Bank of Japan showed on Thursday. The development indicated that the global commodity inflation and a weak yen were lifting raw material import costs.
The corporate goods price index (CGPI) that measures the price businesses charge each other for their goods and services grew 5.6% in July from a year earlier. The figure was an increase for the fifth straight month, exceeding a median market forecast of a 5.0% growth.
CGPI sharply advanced from a 5.0% rise in June and touched the fastest growth rate since September 2008.
Meanwhile, wholesale prices on a month-on-month basis expanded 1.1% in July after growing 0.6%, the biggest gain in nearly two years.
Prices of raw materials like wood spiked 33.1% in July from a year earlier, while costs of oil and coal goods climbed 38.8%.