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JPY: Core CPI to register a rise of 0.1% y-y - Nomura

FXStreet (Delhi) – Yasuhiro Takahashi, Research Analyst at Nomura, expects the all-Japan core CPI for December 2015 to be up 0.1% y-y, as in November.

Key Quotes

“We also forecast all-Japan core core CPI inflation of +0.9% in December, unchanged from November. Tokyo ward-area core core CPI inflation, which is a useful reference, was unchanged in December from November and we expect the all-Japan core core figure to behave in a largely similar way. We also think that any changes in energy and core food prices were not large enough to have had a major impact on the core CPI.

We forecast Tokyo ward-area core CPI inflation of +0.1% y-y in January 2016, as in December. For the Tokyo ward-area core core CPI, we forecast a y-y increase in January of +0.6%, also the same as in December, in view of the absence of reports of high-profile price increases during the month. There has been little change in energy and core food prices and we expect these items to have little impact on the core CPI.”

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