Japan: CPI steady at low levels - BBH

Research Team at BBH, notes that the Japan reported new CPI figures earlier today and they were largely in line with expectations. 

Key Quotes

“The headline rate fell 0.3% year-over-year after 0.1% decline in March.  Excluding fresh food and energy, prices fell 0.3% year-over-year, the same rate as in March.  If all food and energy were excluded, prices rose at a steady 0.7% pace.  A different measure, which excludes fresh food and energy, shows prices rose 0.9%, slowing from 1.1% in March.  It finished last year at a 1.3% pace, the peak (thus far).   

The takeaway here is that Japanese price pressures appear to be either steady at low levels or actually moving in the wrong direction.  This keeps many observers looking for more action from the BOJ.  Although it meets in the middle of next month, the July meeting seems favored.  “