Japan Central Bank Survey: Household Inflation Expectations Remain Elevated

Deep News
Jan 19

A quarterly confidence survey report released by the Bank of Japan reveals that Japanese households' long-term inflation expectations remain near historic highs, impacted by persistently high living costs. Although the median annual inflation expectation for the next five years held steady at 5%, the mean expectation edged down to 9.8% from 10% in the previous survey, which had been the highest level since such statistics began in June 2006. The average household expectation for price increases over the next year was 11.6%, a slight decrease from the 11.9% recorded in the last survey. The outlook index for household economic conditions improved to -18.3, marking the largest quarterly increase since December 2021. The outlook index for land prices saw a significant surge to 42.1, setting a new record high since data collection started in June 2006. The survey was conducted from November 5 to December 8.

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