Shunichi Suzuki, Japan's Finance Minister, stated that rising inflation is caused by rising energy costs and depreciation in the yen.

Additional quotes

Are you ready to spend more on fiscal support?

The recent price increases were mainly driven by rising energy costs. However, forex movements have also had an impact.

Wage hikes can be triggered if inflation rises prior to improvement in the job market. This could impact consumption.

We will closely monitor global economic developments, including inflation and energy price movements.

As the economy continues to suffer from COVID-19 crisis, the government is ready to provide fiscal stimulus.

Japan's fiscal crisis is getting worse.

Japan must not lose sight of its goal to order its fiscal house.

Reaction of the market

USD/JPY is hovering around 115.25 due to an increase in risk appetite. As Russia-Ukraine geopolitical tensions ease a little on the upcoming meeting between US Secretary Antony Blinken (Russia) and Sergey Lavrov (Russia). The spot is up 0.25 percent on the day.