The owners of the 7-year-old “Takoyaki” or octopus balls, chat in the restaurant during the cooking street in the Taito Ward district in Tokyo on February 21, 2025.
Richard A. Brooks AFP Getty images
JApana inflation In March, it increased by 3.6% year -on -year, which means three simple years that the header number of inflation is above the target 2% in Japan.
The number was lower than 3.7% observed in February.
The so -called “basic” inflation rate, which distinguishes the prices of both fresh food and energy and is strictly monitored by BOD, increased to 2.9% from 2.6% in the previous month.
Basic inflation in the country – which sets fresh food prices – was 3.2%, as expected by Reuters. This was also compared with 3% climbing in February.
The issue of data appears when Japan is closed in commercial talks with the USA, and US President Donald Trump writes that “great progress” has been made.
The second largest economy of Asia was affected by 25% on car imports on April 3 and 25% of steel and aluminum fees came Implementation on March 12.
However, Trump suspended its “mutual” tariffs of 24% in Japan for 90 days, leaving a basic tariff of 10%.
A strong number of inflation would allow the Bank of Japan to increase interest rates and normalize its monetary policy.
However, along with the upcoming US tariffs, Japan GDP can face the pressure down and limit the GRE place on rate increases.
This view was made available by Nomura analysts in the note of April 16, which stated that they were changing their perspectives from two wandering to one journey through the BOK from now to March 2027. Nomura expects the boy to wander only once, in January 2026.
Nomura expects that the real GDP of Japan will increase in “Close to Zero” based on the quarter from July to September 2025 due to Trump's tariffs.
Therefore, the increase in wages, which is a delayed indicator, will probably be under downward pressure during 2026, Shunto or spring negotiations, according to Nomury. This would probably make it difficult for a bull rate of increases during or after Shunto in 2026.