Japan tax hike boosts inflation, hurts spending

TOKYO: Inflation hit a three-decade high and unemployment dipped further in Japan, as the government’s bid to jumpstart the economy takes hold, data showed on Friday, but analysts warned it was too early for celebrations.

Japanese consumer inflation, stripping out volatile fresh food prices, rose 3.4 percent year-on-year in May, the fastest pace in 32 years, according to data from the internal affairs ministry.