There was a retail sales tax hike on October 1 which should have given the CPI reading for that month a boost.
Long story short is it has given it a boost, but not very much and to still very low levels. .
OK, firstly, what is expected?
- National CPI y/y, expected 0.3%, prior was 0.2%
- National CPI y/y excluding Fresh Food, expected 0.4%, prior was 0.3%
- National CPI excluding Food, Energy y/y, expected 0.6 %, prior was 0.5%
So, yeah, low, low inflation rates both headline and for the core measures.
I've seen estimates that if there had not been a sales tax hike the 'expected' would be closer to 0.2% (for the headline number) and 0.3% (the number ex fresh food).
To cut a long story even shorter CPI is still far, far below the BOJ target. there is no end in sight for easy policy from the Bank and expectations for more are being kept on simmer. The next meeting is in mid-December.
CPI data is due at 2330GMT.
