MNI BRIEF: Firms Inflation Outlook Up Broadly: BOJ June Tankan

Both short- and medium-term inflation expectations at Japanese firms rose in the three months March, endorsing the BOJ’s view that inflation expectations are rising and firms are more positive about raising retail prices, the latest Bank of Japan Tankan survey showed on Friday

On average, companies saw the annual consumer inflation rate at 2.4% a year from now, up from 1.8% in March. They also saw a 2.0% rise three years and a 1.9% rise five years ahead, compared with +1.6% and +1.6%, respectively in the March survey. The results were consistent with the latest view that inflation expectations have risen moderately and supported the BOJ view on the rise in corporate price view.