Japan's economy minister KIUCHI said cost rises from the Middle East conflict
have so far shown limited pass-through to consumer prices and offered a
relatively upbeat assessment of inflation risk. He noted June headline CPI rose
1.7% YoY, indicating price gains remain moderate. KIUCHI made the comments after
last week's Bank of Japan warning that upside inflation risks had increased. He
added authorities must remain vigilant, saying costs could gradually transmit to
food and other consumer prices from this summer into autumn.
