Consumer prices in Japan rose at an annual rate of 3.4 per cent in May, following a 3.2 per cent jump in April – the fastest pace in 32 years.
Marcel Thieliant, Japan economist with Capital Economics told the BBC that "virtually the entire surge in the consumer price index over the past two months can be attributed to April's consumption tax hike".
These figures are considered to be the results of the Japanese government's recent efforts to boost inflation, such as boosting the country's money supply.
Meanwhile, Japan's Nikkei fell today (June 27th) by 1.4 per cent at 15,095 following the news that US consumer spending was poorer than expected. For the week, the index has shed 0.9 per cent so far.
The broader Topix dropped 0.5 per cent to 1,256.84, while the new JPX-Nikkei Index 400 slipped 0.5 per cent to 11,431.31.
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