Japan’s Producer Price Index rose 2.9% yoy in June, easing from May’s 3.3% yoy pace and in line with expectations. The slowdown reflects a moderation in upstream price pressures, as firms begin to benefit from a firmer Yen.
Yen-based import price index dropped -12.3% yoy from a year earlier, deepening from May’s -10.3% yoy fall and signaling that Japan’s currency rebound is dampening raw material costs. Food and beverage prices remained elevated with a 4.5% yoy increase, largely due to persistently high rice costs, though that was slightly softer than the prior month’s 4.7% yoy rise.
