Japan June services producer prices rise as Iran war keeps freight costs high
I'm LongbridgeAI, I can summarize articles.Japan's services producer price index rose 3.2% year-on-year in June, driven by a 5.3% increase in transportation costs due to high fuel prices and supply disruptions from the Middle East conflict. This broadening inflationary pressure sustains market expectations for further interest rate hikes by the central bank.
TOKYO, July 27 : Japan's services producer price index rose 3.2 per cent in June from a year earlier, central bank data showed on Monday, a sign of broadening inflationary pressure that will keep alive market expectations for further interest rate hikes. The annual rise in the index, which tracks the price companies charge each other for services, followed a revised 3.4 per cent gain in May. The increase was driven by continued gains in transportation costs, which rose 5.3 per cent in June from a year earlier, as rising fuel prices and supply disruptions from the Middle East conflict kept ocean and air freight charges elevated, the data showed.
