According to the Tankan, the diffusion indexes (DIs) for output and input prices show not only that the share of firms reporting an increase in input prices has risen, but also that the share of those reporting an increase in output prices has increased recently.
In addition, the distribution of firms' forecasts for prices, or inflation expectations, has shifted somewhat in the direction of price rises. The third point concerns firms' wage-setting stance (Chart 9). In achieving the price stability target, it is very important that this be accompanied by an increase in wages.