Economic calendar in Asia 10 October 2024 - Japan 'wholesale' inflation indicator
From Japan today we get the September Producer Price Index (PPI), also known in Japan as the Corporate Goods Price Index (CGPI)its a measure of the average change over time in the selling prices received by domestic producers for their outputis calculated by the Bank of JapanUnlike the Consumer Price Index (CPI), which measures the price change that consumers see for a basket of goods and services, the CGPI focuses on the change in the prices of goods sold by companies.The PPI reflects some of cost pressures faced by producersits based on a basket of goods that represents the range of products produced within the Japanese economy, including items such as:raw materials like metals and chemicalssemi-finished goodsand finished productsdifferent weights are assigned to each category within the index based on its contribution to the overall economy.it does not account for the quality improvements in goods and services over time, which might lead to overestimation of inflationadditionally, it reflects only the prices of domestically produced goods, leaving out the impact of imported goodsThe PPI can be used as a guide to inflationary pressures in the economy:If producers are facing higher costs, they may pass these on to consumers, leading to higher consumer prices.Meanwhile USD/JPY is back up near highs not seen since early August. US yields climbing.This snapshot from the ForexLive economic data calendar, access it here.The times in the left-most column are GMT.The numbers in the right-most column are the 'prior' (previous month/quarter as the case may be) result. The number in the column next to that, where there is a number, is the consensus median expected. This article was written by Eamonn Sheridan at www.forexlive.com.
From Japan today we get the September Producer Price Index (PPI), also known in Japan as the Corporate Goods Price Index (CGPI)
- its a measure of the average change over time in the selling prices received by domestic producers for their output
- is calculated by the Bank of Japan
Unlike the Consumer Price Index (CPI), which measures the price change that consumers see for a basket of goods and services, the CGPI focuses on the change in the prices of goods sold by companies.
The PPI reflects some of cost pressures faced by producers
- its based on a basket of goods that represents the range of products produced within the Japanese economy, including items such as:
- raw materials like metals and chemicals
- semi-finished goods
- and finished products
- different weights are assigned to each category within the index based on its contribution to the overall economy.
- it does not account for the quality improvements in goods and services over time, which might lead to overestimation of inflation
- additionally, it reflects only the prices of domestically produced goods, leaving out the impact of imported goods
The PPI can be used as a guide to inflationary pressures in the economy:
- If producers are facing higher costs, they may pass these on to consumers, leading to higher consumer prices.
Meanwhile USD/JPY is back up near highs not seen since early August. US yields climbing.
- This snapshot from the ForexLive economic data calendar, access it here.
- The times in the left-most column are GMT.
- The numbers in the right-most column are the 'prior' (previous month/quarter as the case may be) result. The number in the column next to that, where there is a number, is the consensus median expected.
