TOKYO: Japanese inflation slowed in January, government data showed on Friday, in welcome news for Japanese Prime Minister Sanae Takaichi after her recent election landslide win.
Soaring prices in Asia’s number-two economy contributed to the downfall of Takaichi’s two predecessors and Japan’s first woman premier has made fighting inflation a priority.Excluding fresh food, ‘core’ consumer prices rose 2.0 per cent year-on-year (YoY), down from a 2.4 per cent increase in December and in line with market expectations, the data showed.
Also stripping out energy prices, inflation mellowed by more than expected to 2.6 per cent from 2.9 per cent in January, compared to the median forecast of 2.7 per cent.Unadjusted, consumer prices rose 1.5 per cent compared to 2.1 per cent in December, also constituting a bigger drop than expected, with market consensus 1.6 per cent.
Petrol prices fell 14.6 per cent, thanks in part to government subsidies making fuel less expensive at the pump for motorists.But the cost of food excluding fresh produce rose 6.2 per cent, and the price of rice — which doubled last year — soared 27.9 per cent.
