Inflation rose to 4.3% in January, the highest value since 1981 (December: 4.0%). Meanwhile, core inflation rose to 4.2% (December: 4.0%). Our panelists see inflation falling below the BoJ’s 2.0% target in Q3 2023, given that the recent spike in inflation is largely due to cost-push factors. That said, the ongoing shunto wage negotiations pose an upside risk.
Japan TONAR (%, eop) Data
| 2017 | 2018 | 2019 | 2020 | 2021 | |
|---|---|---|---|---|---|
| TONAR (%, eop) | -0.06 | -0.06 | -0.07 | -0.03 | -0.02 |