BOJ Rate Hike Looms as Japan's Wholesale Inflation Hits 7.6%

Japan's wholesale inflation remained elevated in August, rising 7.6% from a year earlier, according to data released by the Bank of Japan (BOJ) on Friday.

This is faster than the median market forecast for a 7.4% increase and follows a revised 7.7% gain in July.

The yen-based import price index rose 24.8% in August from a year earlier, after a revised 29.3% surge in July, indicating that the currency's weakness during the month pushed up import costs and broader inflation.

The BOJ has been closely watching wholesale inflation for clues on the degree to which firms can pass on costs to households, according to Governor Kazuo Ueda.