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Japan's wholesale prices rise in may

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Added On June 14, 2018

 Wholesale prices have risen for the 17th straight month in Japan, thanks to higher energy costs.

 
The news come as a welcome relief to policies makers, as they battle to boost inflation and raise the economy.
 
On Tuesday, the Bank of Japan said wholesale prices rose 2.7 percent in May from a year earlier, the fastest pace since January. 
 
The price of goods traded between companies had been slowing since late last year, sparking fresh worries that Japan could slip back into deflation.
 
Instead, wholesale prices gained for the 17th straight month, picking up from a revised 2.1 percent rise the previous two months.
 
The jump was led by oil and coal products - up 19.4 percent, and utilities - up 4.8 percent.
 
Export and import prices were also up.
 
The news will be a welcome one to the Bank of Japan. Policy makers are looking to raise inflation to 2 percent in an effort to boost growth.
 
But five years of aggressive monetary easing, consumer prices remain stubbornly low, with core inflation stuck at around 0.7 percent.