The July preliminary figures for the corporate goods price index, which shows the prices of goods traded between companies, surpassed the same month last year for five consecutive months, the highest level in about 13 years.
The main factor was the rise in crude oil prices.
Last month's preliminary figures for the corporate goods price index released by the Bank of Japan were 105.7, with an average of 100 in 2015, 5.6% higher than the same month last year.
This is the fifth consecutive month of increase, the highest level in about 13 years since September 2008.
This is mainly due to the rise in crude oil prices.
The futures price of the New York crude oil market, which is an international indicator, is 7 due to the fact that overseas economic activities have resumed in earnest, demand for oil is increasing, and the movement to reduce production in oil-producing countries has continued. The high price trend continued in the month.
As a result, in addition to "petroleum and coal products," prices of a wide range of items such as "electric power and city gas" and "steel" have risen in response to rising fuel prices.
In addition, the price of "wood and wood products" is rising due to rising construction demand in the United States.
Regarding the outlook for the future, the Bank of Japan said, "Although the pace of increase in crude oil prices has slowed down somewhat, the outlook for the economy is uncertain due to the spread of the new coronavirus worldwide, and it is difficult to forecast corporate price trends."