Following the release of Japan’s Wholesale Price Index (WPI), earlier on, a Bank of Japan (BOJ) official said that “companies continue to pass on higher raw material costs to sales prices, although moderately.

“Year-on-year pace of wholesale price rise slowing but more items seeing prices rise,” the official added.  

Japan’s wholesale prices marked an annualized rise in January for the 11th straight month. The WPI index rose to 109.5, the highest level since September 1985.

Market reaction

USD/JPY is keeping its range around 115.50, up 0.04% on the day. The pair awaits the US inflation data, as US Treasury yields maintain the corrective downside while the dollar rebound amid a mixed market sentiment.