Below is a horrible example of Producer Prices and GBP Effective Exchange rate index. The Effective exchange rate index is also called the trade weight index. The ONS only shows Imports and lacks the total information to Producer Prices to the full analysis to Imports and Exports.
The BOJ easily shows such a better depiction to the Full import and export sides to Producer Prices. And the BOJ by showing the full boat allows for accurate forecasts. For what the BOJ shows, its impossible to forecast wrong.
To show the full Import and export sides is an indication to the current level of the exchange rate as to high or to low. The BOJ’s Producer prices as well as imports and exports is doing just fine to the level of USD/JPY. This informs no dramatic moves nor intervention.
No difference between BOJ PPI and the UK except the numbers are different. Both PPI indies dropped dramatically since 2022. No difference to one world economics.
|mported materials and fuels purchased (GD74)||Sterling effective exchange rate|
– month average (BK67)