Japan: Core inflation creeps down in November
December 21, 2018
The core consumer price index was stable in month-on-month seasonally-adjusted terms in November, down from October’s 0.2% increase.
Core inflation inched down to 0.9% in November compared to October’s 1.0%, missing analysts’ expectations of 1.0%. Nevertheless, inflation remained well below the Bank of Japan’s inflation target of 2.0%. Overall inflation fell from October’s eight-month high of 1.4% to 0.8% in November.
Core inflation in the Ku-area of Tokyo was stable at October’s 1.0% in November. Preliminary data for December will be released on 28 December.
Japan Inflation Forecast
The median inflation forecast among BoJ members is 1.9% for FY 2019 and 2.0% for FY 2020, including the effects of the consumption tax hike. FocusEconomics Consensus Forecast panelists expect inflation of 1.2% in calendar year 2019, which is unchanged from last month’s estimate. In 2020, the panel sees inflation at 1.6%.
Author: Joffrey Simonet, Economist