Japan's core consumer prices rose 0.8 percent in January from a year earlier due to higher crude oil prices, but remained far below the Bank of Japan's 2 percent inflation target, government data showed Friday.

The nationwide core consumer price index, excluding volatile fresh food items, increased for the 37th straight month, the Ministry of Internal Affairs and Communications said. It rose 0.7 percent in December.

Gasoline prices climbed 6.3 percent from the previous year, the first growth since May last year, reflecting a spike in crude oil prices due to a partial trade deal between the United States and China as well as growing U.S.-Iran political tensions.

"Higher crude oil prices pushed up prices in January, but the outlook for prices in the coming months is unclear due to a recent fall in oil prices and the outbreak of the coronavirus," a ministry official said.

Prices in the reporting month did not reflect the impact of the fast-developing Chinese COVID-19 epidemic as the ministry surveyed prices in the middle of January, the official said.

Excluding the impact of a consumption tax hike to 10 percent from 8 percent and a free preschool education and nursery program introduced on Oct. 1, prices gained 0.4 percent from a year earlier, the same growth in December.

In January, prices for dining out and confectionary items both advanced 3.2 percent as a result of rising labor and material costs.

Fire and earthquake insurance fees rose 9.3 percent as major insurers raised premiums from October following a series of natural disasters in recent years.

Electricity bills fell 2.1 percent from a year earlier, reflecting lower crude oil prices in the second half of last year, while mobile phone fees decreased 4.3 percent amid intensifying competition among major wireless carriers.

So-called core-core consumer prices, which exclude both fresh food and energy items, rose 0.8 percent in January from the previous year, down slightly from a 0.9 percent gain in December.

==Kyodo

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