Wholesale inflation in Japan steadied

As compared to the previous year, wholesale prices in Japan increased by 9.3%, according to November data. The pace of price growth didn’t show any significant changes from October and demonstrated certain signs of approaching an inflation peak amid certain easing of global commodity prices.

The new data might be good news for the Japanese economy, which is hugely dependent on fuel and raw material imports.

According to updated information, the price index turned out to be above markets’ estimations of 8.9%, but still lower than its October reading of 9.4%.

At the same time, the yen-based import price index became 28.2% higher than a year ago, although demonstrating a rapid decline from the October figure of 42.3%. The Japanese national currency showed a rebound from its multi-year lows, softening the growing costs of import.

The current situation, including such factors as high global commodity prices and the yen’s weakness, causes worries among Japanese policymakers, as growing cost of imports increases wholesale and consumer inflation in the country.