The Bank of Japan will be watching on as Japan braces for another round of price hikes in October.
In addition to price increases, wages are set to rise. The minimum wage to increase by 51 yen to 1,055 yen (national average).
- Postal rates to jump ~30%, first increase in 30 years excluding tax hikes
- Standard letter rate up from 84 to 110 yen
- Postcard rate rising from 63 to 85 yen
- Food and beverage prices continue surging
- ~3,000 items affected, some seeing 30%+ increases
- Major beverage companies hiking prices on October 1 shipments
- Snack and processed meat producers also raising prices
- OTC payments for some off-patent drugs to rise
While the BoJ may approve of the rises, the government is taking some steps to offset the impact on squeezed household budgets.
This article was written by Eamonn Sheridan at www.forexlive.com. Source