Nearly 90% of Japan households expect prices to rise a year from now, survey shows

TOKYO (Reuters) -Nearly 90% of Japanese households expect prices to rise a year from now, the central bank’s quarterly survey for September showed on Friday.

The ratio, at 88.0%, was higher than 85.1% in the previous poll, the survey showed, in a sign of broadening inflationary pressure that may keep alive market expectations of a near-term interest rate hike.

Of the households polled, 84.8% expected prices to rise five years from now, up from 83.1% in the previous survey.

The quarterly survey is among key data the Bank of Japan scrutinises for clues on how rising food costs are affecting households’ inflation expectations.

(Reporting by Leika Kihara; Editing by Kim Coghill)