Core CPI posts steepest rise in 3 years in Oct.

December 1, 2017

Tokyo- Japan's core consumer price index for October logged the steepest year-on-year growth in three years, excluding the effects of the April 2014 consumption tax increase, the Ministry of Internal Affairs and Communications said Friday.

The growth reflected rises in electricity and gas rates stemming from higher crude oil prices.

The core CPI, which excludes often volatile fresh food prices, rose 0.8 percent from a year earlier to 100.6 against 100 for the base year of 2015, up for the 10th straight month, according to the ministry.

The rise, the largest since the 0.9 percent marked in October 2014, matched the median forecast of the 21 economic research institutes surveyed by Jiji Press.

Consumer prices in Japan are on a moderate increase while staying roughly flat as a trend, a ministry official said.

Electricity and city gas rates rose 7.9 percent and 8.3 percent, respectively.

Transportation service fees increased 8 percent following a base shipping rate hike by a major parcel delivery firm.

Prices rose 1.0 percent for nonperishable food products, including beer.

In November, the core CPI for Tokyo's densely populated 23 wards, a leading indicator for nationwide trends, climbed 0.6 percent from a year before to 100.3. Jiji Press