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Stock impact report

Japan wanted inflation and Iran war could grant that wish. But it's not the type Tokyo desires [CNBC]

Sumitomo Mitsui Financial Group Inc Unsponsored American Depositary Shares (Japan) (SMFG) 
US:NYSE Investor Relations: smfg.co.jp/english/investor
Company Research Source: CNBC
Analysts estimate oil price spikes could add 0.3%–0.7% to CPI, with broader effects as energy feeds into production costs. The BOJ faces a bind—raising rates won't tame supply-driven inflation, but holding steady risks credibility and eroding real wages. TOKYO, JAPAN - FEBRUARY 05: Tourists and shoppers walk through the Tsukiji shopping area on February 5, 2026 in Tokyo, Japan. Tomohiro Ohsumi | Getty Images News | Getty Images The Bank of Japan has long stated that sustained levels of inflation will help it move ahead with policy normalization, after having ended the world's only negative interest rate regime in 2024. Headline inflation in Japan has run above the BOJ's 2% target for 45 straight months, only cooling in January 2026. And now the war in the Middle East risks fueling it further, something that the central bank flagged when it kept rates steady on Thursday. For Japan, a country that imports nearly all of its oil, this is the wrong kind of “cost-push” inflatio Show less Read more
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