Japan’s wholesale inflation surged in May at the fastest annual rate in nine months, driven by a weak yen that increased import costs. This rise complicates the Bank of Japan’s decision on raising interest rates, as higher prices from cost pressures could reduce consumption and hinder demand-driven inflation. Analysts note that with energy prices expected to rise and government utility subsidies ending in June, the BOJ may need to wait for wage growth to boost consumption before considering rate hikes.