MNI BRIEF: Japan Dec CGPI Rises 3.8% Y/Y, Import Prices Up
MNI (TOKYO) - Japan's corporate goods price index rose 3.8% y/y in December, unchanged from November’s revised 3.8%, while import price posted their first rise in four months, data released by the Bank of Japan showed on Thursday.
The December index stayed at the highest level since June 2023 when it rose 4.5% boosted by higher agriculture, forestry and fishery products (+31.8% vs. +29.8%) and electric power, gas and water (+12.9% vs. +9.3%).
The CGPI rose 0.3% m/m in December after rising 0.3% in November.
Import price rose 1.0% y/y in December on a yen basis for the first rise in four months following November's 1.2% decline, indicating an increase of the pass-through of high costs.
But the upside risk to prices will not immediately rise to a crucial level and bank officials are focused on whether the import price continues rising.
The pass-through of high costs caused by the past yen’s fall continued due to a time lag, depending on industries, prompting firms to transfer high labour costs to retail prices.