Japan's producer price index rose 7.2% year-on-year in July, the Bank of Japan said, coming in below the 7.4% median market forecast and edging down from June's 7.3% gain.
The monthly increase was a modest 0.1%, well short of the 0.6% gain analysts had expected, following a revised 0.5% rise in June. Underlying pressures remained uneven: nonferrous metals prices surged 40.6% from a year earlier, while the yen-based import price index climbed 29.1%. Export prices fell 0.6% on the month but were up 10.1% on the year.
The data arrives as traders weigh the likelihood of further tightening, with the central bank expected to raise interest rates in September following its recent policy shifts.