Tokyo inflation acceleration – recapping the yen supportive data published earlier

The Tokyo inflation data is here:

• Tokyo area November inflation data, a big jump higher: Headline 2.6% y/y (prior 1.8%)

And concerns about a leak were aired here:

• USD/JPY towards 151.10 – the drop began before the CPI data officially published

The Wall Street Journal have a recap of the data. The Journal is gated but if you can access it, link is here.

A snippet from the report:

• consumer prices, excluding fresh food, for the Tokyo metropolitan area … first acceleration in the pace of inflation in three months
• suggesting that inflation is developing in line with the central bank’s expectations

• Energy prices increased due to the receding effects of government energy subsidies

• Service prices—which BOJ Gov. Kazuo Ueda is keeping a close eye on—rose 0.9%, slightly faster than October’s 0.8% increase.
• The pickup in inflation likely backs the view for an imminent interest-rate increase

The yen has surged:

This article was written by Eamonn Sheridan at www.forexlive.com.