Japan data: May inflation-adjusted wages down 1.2% y/y. May Household spending down 4% y/y

<p>Wages data from Japan is not supportive of demand-induced inflation. </p><p>Cash earnings +2.5% y/y </p><ul><li>expected +0.7%, prior +0.8%</li></ul><p>But in real terms, adjusted for inflation wages are down 1.2% y/y</p><p>Household spending data is also lacklustre, coming in at -4.0% y/y</p><ul><li>expected -2.4%, prior -4.4%</li></ul><p>and for m/m -1.1%</p><ul><li>expected +0.5%, prior -1.3%</li></ul><p>—-</p><p>Earlier re Japan:</p><ul><li><a href="https://www.forexlive.com/centralbank/more-on-boj-dep-gov-uchida-and-a-july-tweak-we-will-continue-ycc-for-the-time-being-20230706/" target="_self" rel="follow">More on BOJ Dep Gov Uchida and a July 'tweak': "We will continue YCC" for the time being</a></li><li><a href="https://www.forexlive.com/centralbank/mr-yen-sakakibara-says-usdjpy-could-soar-beyond-160-before-intervention-from-the-boj-20230706/" target="_self" rel="follow">"Mr. Yen" Sakakibara says USD/JPY could soar beyond 160 before intervention from the BOJ</a></li><li><a href="https://www.forexlive.com/centralbank/nomura-looking-for-higher-usdjpy-in-near-term-but-eyes-on-the-boj-and-intervention-risk-20230706/" target="_self" rel="follow">Nomura looking for higher USD/JPY in near term, but eyes on the BOJ and intervention risk</a></li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.