On June 16, 2026, Kyodo News reported that Japan's core consumer price index (core CPI) rose 1.4% in May 2026 compared to the same period last year. This marks a higher-than-expected increase relative to prior market forecasts.
The core CPI, which excludes fresh food prices but includes energy costs, is a key inflation measure closely monitored by the Bank of Japan (BOJ). The 1.4% rise indicates that price pressures remain elevated, though still below the BOJ's 2% target.
Economists attribute the increase primarily to rising energy and processed food costs, as well as the impact of a weak yen, which has inflated the prices of imported goods. Detailed breakdowns of the inflation components are expected in the coming days.
