Tokyo’s inflation held steady in November and industrial output unexpectedly rose, keeping the Bank of Japan on track to consider an interest rate hike in December or January.
Consumer prices excluding fresh food in the capital advanced 2.8% this month from a year earlier, the internal affairs ministry said Friday. Faster gains in electricity costs helped offset slower increases in processed food prices. The result was a tad stronger than the median economist forecast of 2.7% and matched the result for the previous month.
The measure that also strips out energy also increased 2.8%, unchanged from last month. Service prices, a vital component to gauge the sustainability of inflation, increased 1.5% from a year earlier. Rice prices, a driving force for this year’s price gains, rose 37.9%, continuing to decelerate after the pace hit a record high of 93.8% in April.
AloJapan.com