Japan's corporate goods price index rose 7.1% in October from a year earlier, the Bank of Japan said, quickening from September as crude oil costs and demand tied to artificial intelligence pushed wholesale prices higher.
The index, which tracks the prices of goods traded between companies on a 2020 baseline of 100, is treated as a leading indicator of consumer prices. The October reading was a preliminary figure.
The gain followed a 6% rise in September, the first month in four to post growth in the 6% range. The October figure extended the acceleration.
Oil and chemicals
Crude oil rose above $100 a barrel in September for the first time since May, as tension between the United States and Iran dragged on. That fed through to refined products.
Petroleum and coal products climbed 15.9% from a year earlier. Chemical products, which include goods made from naphtha, rose 15.5%. Both accelerated from the previous month.
AI demand lifts electronics
Demand for AI is also pushing prices up. Information and communications equipment, including personal computers, rose 15.9% from a year earlier as semiconductor prices climbed.
Nonferrous metals, which include the copper used in data centers, jumped 31.7%.
The Bank of Japan released the figures on the 12th, the Asahi Shimbun reported.