Tokyo inflation remains above the BOJ’s 2% target

Tokyo’s October inflation measures stayed above the Bank of Japan’s 2% target, with the main core index at 2.6%, down from 2.7% in September. The reports note that the BOJ was expected to keep policy steady at its Friday decision, while inflation developments could inform future rate decisions.

• Tokyo’s consumer price index excluding fresh food rose 2.6% year over year in October, compared with 2.7% in September; the October result matched the median forecast.· 2 sources
• The measure excluding fresh food and fuel also rose 2.6% in October; The Japan Times reported overall inflation at 2.8% and the measure excluding fresh food and energy at 2.6%.· 2 sources
• The BOJ was expected to hold policy steady at its Friday announcement. The reports described Tokyo’s figures as a possible indicator of nationwide price trends and noted that future rate decisions remained in focus.· 2 sources