Japan – inflation stable, cycle firm
Headline inflation in Tokyo in February rose from 1.8% YoY to 2.6%. So inflation isn't disappearing. But underlying measures don't suggest that inflation really is accelerating either, with core settling around 2% annualised. At the same time, the PMI shows services momentum remaining firm.
![Japan – inflation stable, cycle firm](/content/images/size/w2000/2024/03/Japan--PMI-3.png)