Regarding prices, the domestic corporate goods price index (CGPI) has been rising mainly due to higher international commodity prices. The year-on-year rate of change in the consumer price index (CPI, excluding fresh food), which had remained at slightly below 0 percent, posted an increase of 0.1 percent in October 2007, followed by a 0.4 percent increase in November.
As prices of petroleum products and food are increasing, the rate of growth in the CPI is likely to rise further in the immediate future. As I noted earlier, the pace of economic growth seems to be decelerating at present. Given this, the overall supply and demand conditions seem unlikely to tighten for the time being.