Reuters Survey: Japan's August Core Inflation Seen at 1.8%

According to Jin10, a Reuters survey showed Japan's August core inflation was expected to remain steady at 1.8% as government subsidies offset the impact of higher oil prices driven by Middle East conflict. Ryohei Ikeda, an analyst at Mizuho Research Institute, said rising crude oil and naphtha prices were increasingly being passed through to consumer prices, especially daily necessities, which would push up inflation, while electricity and gas subsidies would weigh on inflation. Japan's Ministry of Internal Affairs and Communications will release CPI data on September 18, and the Bank of Japan will announce its interest-rate decision a few hours later.