AI Data Insight
Japan's Corporate Goods Price Index (CGPI) for May 2026 surged by 7.1% year-on-year, significantly exceeding the previous value of 6.3%, indicating extremely strong inflationary momentum at the wholesale level. Caught in the double whammy of Middle East geopolitical risks driving up oil prices and a persistently weak yen, import costs and chemical product prices have skyrocketed. Inflationary pressure is bound to be passed on to consumers in the coming months, and the market is on high alert for the potential risk of an early interest rate hike by the Bank of Japan.