Japan: Core prices continue to drop in April
May 27, 2016
In April, the core consumer price index rose 0.3% compared to the previous month, which was above the 0.1% rise tallied in March. The print mainly reflected much higher prices for clothes and footwear, furniture and household utensils and, to a lesser extent, education.
Core prices in April were down 0.3% over the same month last year, which matched the result tallied in the previous month. The print was above the 0.4% decrease predicted by market analysts and represented the steepest drop since April 2013. Overall consumer prices in April fell to a 0.3% decline from a 0.1% decrease in March.
Core prices for Tokyo—available one month in advance of the national figures and thus a leading indicator for countrywide inflation—fell 0.5% in May over the same month of the previous year (April: -0.4% year-on-year), which was in line with the result that market analysts’ had expected.