MNI BRIEF: Japan Dec CGPI Flat Y/Y; Lowest Since Feb 2021

The y/y rise in Japan's corporate goods price index slowed to 0.0% in December from November’s 0.3%, the 12th straight deceleration and its lowest level since February 2021 (-0.9% y/y), indicating that the consumer price index will continue to slow, Hidden PDF data showed Tuesday

Lower electric power, gas and water prices due to government subsidies drove December's decline.

Pass-through of cost increases continued in beverages and foods but upward pressure on goods prices weakened.

The CGPI rose 0.3% m/m in December flat against November's revised 0.3%.

Import prices fell 4.9% y/y on a yen basis, the ninth straight drop following November’s revised 6.1% fall, showing upward pressure from import price continued to weaken.

Japan’s government tweaked its assessment on the consumer price index late last year, while maintaining its broad economic view. (See MNI: Japan Govt Tweaks Assessment On Consumer Price Index)