Japan: July CPI came in lower than expected at 0.9% - TDS

Analysts at TD Securities note that Japan’s CPI came in lower than expected at 0.9% y/y in July (consensus 1.0% y/y) from 0.7% y/y in June.

Key Quotes

“CPI ex fresh food was also lower than expected at 0.8% y/y, the same as in June (consensus 0.9% y/y).”

“The BoJ's inflation target of 2% remains some way distant as does any substantial change in BoJ policy.”

“Recent tweaks will have done little to alter the view that the BoJ is in no position to emulate the Fed in its shift towards removing policy accommodation.”