AI Data Insight
According to the latest data, Japan's Q2 2026 Producer Price Index (PPI) jumped to 134.5, climbing further from the previous value of 133.3. Soaring energy prices triggered by Middle East geopolitical tensions and the weak yen have caused imported inflation pressure to far exceed market consensus. The surging costs not only exacerbate the risk of downstream pass-through but also significantly boost market expectations for the Bank of Japan to initiate a new round of rate hikes.