Japanese Corporate Service Price Index climbs to 2.8% annually from 2.3%

The Japanese Corporate Services Price Index, a measure of input prices paid by corporations, rose to 2.8% for the year ended in April, compared to the previous month's annualized 2.3%.

April's uptick in corporate inflation represents the highest rate of price growth impacting corporations since 2015.

Market reaction 

USD/JPY is trading tightly on the bearish side of the 157.00 handle as Pacific session traders come online on Tuesday.

About Japanese Corporate Services Price Index

The Corporate Service Price Index (CSPI) released by the Bank of Japan measures the prices of services traded among companies. It presents price developments that reflect most sensitively the supply and demand conditions in the services market. It is also considered as an indicator for inflationary pressures. Normally, a high reading is seen as positive (or bullish) for the JPY, while a low reading is seen as negative (or bearish).