According to Jinshi, Japanese service prices rose at the fastest pace in more than 30 years, indicating that the inflation trend is expanding, providing support for the Bank of Japan to raise interest rates. The corporate service price index reached an annual rate of 2.8% in April, the highest since September 1991. The Bank of Japan emphasized that service prices are a key indicator of the spread of inflation. There are signs that the strongest price growth in many years is taking root throughout the economy, supporting the view that inflation is persistent. Tuesday's data may prompt the central bank to consider raising interest rates earlier. Service prices are expected to continue to rise, partly due to the increase in wages for Japanese workers this year. The continued weakness of the yen may further push up prices.