Year-on-year, cost declined for: housing (-0.1 percent in July from -0.1 in June); fuel, light and water charges (-7.7 percent from -8.7 percent), furniture and household utensils (-0.8 percent after remaining unchanged) and transport and communication (-2.6 percent from -2.4 percent). In contrast, prices rose for: food (+1.1 percent from +1.1 percent), clothes and footwear (+2.4 percent from +2.0 percent), medical care (+0.9 percent from +0.6 percent), education (+1.6 percent from +1.4 percent), culture and recreation (+0.8 percent from +1.1 percent) and miscellaneous goods and services (+0.7 percent from +0.9 percent).
Core consumer prices fell 0.5 percent from a year earlier in July, following a downwardly revised 0.4 percent decline in June. It was the fifth consecutive month of fall and the fastest drop since March 2013 while market expected a 0.4 percent decrease. The so-called core-core consumer prices, which excludes food and energy prices rose 0.3 percent year-on-year, compared to a 0.4 percent rise in June.
On a monthly basis, consumer prices declined by 0.2 percent, the same as in the prior month.
In Tokyo, consumer prices dropped by 0.5 percent year-on-year in August, compared to a 0.4 percent fall in July. Core consumer prices, which exclude fresh food, fell 0.4 percent from a year earlier, the same pace as in a month earlier while market estimates of a 0.3 percent drop.