Japan inflation improves slightly
|After the Bank of Japan cut its 2019 outlook for core inflation, the rate has improved, with the core gauge at 0.80% (prior: 0.70%) in January. Yet private consumption in the country declined in January, while a February manufacturing PMI of 48.50 pointed to recession for the first time in 30 months. It seems that Japanese inflation is struggling to take off, although a time lag of several months might partially explain it. Headwinds are on the way, starting with a consumption tax hike from 8% to 10% planned for October 2019. The BoJ is not expected to change its current monetary easing course at its 15 March meeting. The inflation target of 2% remains distant, unreachable before 2021.
Stay on top of the markets with Swissquote’s News & Analysis
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.