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Japan inflation slows to 1.9%

It slowed to 1.9% in October. -AFP

Fri, Nov 28, 2008
AFP

TOKYO - JAPAN'S core inflation slowed to 1.9 per cent in October as energy costs cooled and domestic demand weakened amid a recession, official figures showed on Friday.

Core consumer prices rose for a 13th straight month, but at a slower pace than a 2.3 per cent increase in September and a 2.4 per cent rise in August, which was the fastest pace since October 1997.

Japan was trapped in a deflationary spiral for years, but the return of inflation has also caused concern because it is being driven by rising import costs rather than a stronger domestic economy.

 
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