Japan's wholesale inflation remains elevated, keeps alive BOJ

TOKYO: Japan's wholesale prices rose 6.8 per cent in the year to September as companies passed on fuel and chemical costs, according to data released on Tuesday, highlighting mounting inflationary pressure that keeps alive market expectations of a near-term interest rate hike.

The data will be among the factors that the Bank of Japan will scrutinise when its board produces fresh quarterly growth and inflation forecasts at this month's policy meeting.

The rise in the corporate goods price index, which measures the price companies charge each other for their goods and services, compared with the median market forecast for a 7.6 per cent increase. It followed a 7.6 per cent gain in August.

The yen-based import price index surged 24.5 per cent in September from a year earlier, the data released by the BOJ showed, a sign that the currency's weakness continued to push up the cost of raw material imports.