Tokyo area inflation is looked to provide a guide to Japan-wide inflation. I think all you really need to know though is its way below target and showing not much sign of even getting close.
Tokyo CPI 0.4% y/y
- expected 0.1%, prior was 0.2%
Tokyo CPI y/y excluding Fresh Food 0.2%
- expected -0.2%, prior was -0.1%
Tokyo CPI excluding Food, Energy 0.5% y/y
- expected 0.1%, prior was 0.2%
A little above expectations will be cold comfort to the Bank of Japan, their target is 2%. The slightly higher readings here include the impact of last year's sales tax hike, for a real reflection these need to be stripped out … which moves the CPI lower and further from target.
Yeah, try to not to touch your face, but we need to cut Mr. K some slack on this.
