MNI BRIEF: Japan Feb CGPI Rises to 8.2%, Slows From Jan's 9.5%

The year-on-year rise in Japan's Corporate Goods Price Index slowed to 8.2% in February, down from January’s unrevised 9.5% and indicating that upstream cost increases have peaked out, data released by the Bank of Japan Friday showed.

The data showed that pass-through of cost increases in the intermediate and downstream industries continues as there is a time lag before firms transfer high costs to retail prices, which then push up consumer prices. The CGPI fell 0.4% from the previous month, also slowing from 0.0% in January.

The February’s drop was due mainly to the government’s subsidies to lower gas and electricity charges.