Producer prices in Japan are rising sharply, and the central bank may raise interest rates

In August, Japan's corporate goods prices rose more than expected, supporting the Bank of Japan's continued interest rate hikes to curb inflation risks. Data shows that in August, corporate input prices increased by 7.6% year-on-year, higher than the expected 7.4%.

Market expectations are that the Bank of Japan will raise the benchmark interest rate by 25 basis points to 1.25% on September 18.