Japan's July Inflation Hits 1.9% as Energy Prices Rise for First Time Since November
Updated
Updated · CNBC · Aug 21
Japan's July Inflation Hits 1.9% as Energy Prices Rise for First Time Since November
3 articles · Updated · CNBC · Aug 21
Summary
Japan’s headline inflation reached 1.9% in July, the highest reading this year, while core inflation came in at 1.8%, matching expectations.
Energy prices rose for the first time since November 2025 despite government subsidies, with high oil prices linked to the Iran war pushing consumer costs higher.
Wholesale inflation accelerated to 7.2% in July, with electricity charges the biggest contributor, signaling pipeline pressure beyond consumer prices.
Core-core inflation, which excludes fresh food and energy, also stood at 1.9%, while the Bank of Japan said last month core inflation should move clearly above 2% later in fiscal 2026.