Japan chief cabinet secretary Matsuno
- want to compile extra budget swiftly after econ package in late October
- will consider further support for hard-hit consumers, businesses in view of higher energy, food prices
- will also consider steps to promote wage hikes
Wage hikes would be welcome by the Bank of Japan as a step to higher price pressures. The Bank views current inflation levels as transitory.
Earlier data from Japan today painted a more encouraging picture of the economy:
- August preliminary industrial production 2.7% m/m (expected +0.2%)
- Japan retail sales for August 4.1% y/y (expected 2.8%)
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Bank of Japan Governor Kuroda will will welcome further fiscal stimulus
