Japan CPI stays muted in May as subsidies mask building inflation pressure
USD/JPY — All Desk Targets
| Firm | Stance | YE 2026 |
|---|---|---|
MUFG | Bullish | 152.00 |
UBS | Bearish | 160.00 |
Scotiabank | Bullish | 140.00 |
From the original
The data is dovish on the surface but the BoJ is unlikely to read it that way given the context. Subsidies are doing the work of keeping core below 2%, not underlying disinflation, and the PPI acceleration since March is the more forward-looking signal for where consumer prices a
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