Japan: Core inflation eases further in May
June 26, 2015
In May, the core consumer price index, which excludes volatile fresh food prices, rose 0.2% over the previous month. The print was slightly below the 0.3% increase tallied in April and mainly reflected a sizeable increase in prices for culture and recreation as well as for transport and communication.
Annual core inflation inched down from April’s 0.3% to 0.1% in May. The print slightly overshot the flat reading that market analysts had expected and represented the lowest level since May 2013. Overall inflation fell from 0.6% in April to 0.5% in May.
Core inflation for Tokyo—available one month in advance of the national figures and thus a leading indicator for countrywide inflation—fell from 0.2% in May to 0.1% in June, which was slightly below the 0.2% that market analysts’ had expected.