TOKYO, Nov 27 (Reuters) - Japan's business-to-business service inflation accelerated in October as a tight job market lifted labour costs, underscoring a broadening of price pressures that could heighten the chance of a near-term end to ultra-loose monetary policy.
The services producer price index, which measures the price companies charge each other for services, rose 2.3% in October from a year earlier, up from a revised 2.0% gain in September, Bank of Japan (BOJ) data showed on Monday.
Information and communication, machinery repair and worker dispatching businesses saw fees increase from year-earlier levels due to higher labour costs.
The data suggest Japan's economy is making progress towards achieving sustained rises in inflation accompanied by solid wage growth.
His remarks have heightened market attention to developments in services prices, which most vividly reflect wages pressures companies face in their businesses.
Persons:
Kazuo Ueda, Leika Kihara, Lisa Shumaker, Edwina Gibbs
Organizations:
Bank of Japan, Reuters, Thomson
Locations:
TOKYO