reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/econ-polls?RIC=JPCPI%3DECI core CPI survey data
TOKYO, November 17 (Reuters) – Japan’s core consumer inflation likely accelerated again in October, remaining above the central bank’s 2% price target for a 19th straight month, a Reuters poll found on Friday.
The nationwide core consumer price index (CPI), which strips out volatile fresh food, is expected to have grown 3.0% in October from a year ago, according to the median estimate of 17 economists, compared with 2.8% gain in September.
After core CPI hit a peak of 4.2% in January, it slowed below the 3% threshold for the first time in more than a year in September, as utility bills fell reflecting the lagged impact of past oil prices.
“The pace of year-on-year growth is expected to pick up in October as government subsidies on electricity and gas bills are reduced,” said Shumpei Fujita, an economist at Mitsubishi UFJ Research and Consulting.
The government will release the October CPI data at 08:30 am on November 24 (2330 GMT, November 23).
Governor of the Bank of Japan Kazuo Ueda said on friday the central bank will debate a strategy for exiting ultra-easy monetary policy as sustained achievement of its 2% inflation target approaches.
The government at the beginning of this month compiled a package of measures to soften the economic blow of inflation, which will involve spending more than 17 trillion yen ($113 billion).
Data on Wednesday showed the economy shrank July-September, shrinking two straight quarters of expansion on soft consumption and exports. The data suggest that stubbornly high inflation is hurting household spending.
(Reporting by Kaori Kaneko; Editing by Stephen Coates)
((kaori.kaneko@thomsonreuters.com;))
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