Tokyo’s core inflation reaches central bank’s target, fuelling expectations of interest rate hikes
September 27, 2024
In September, core inflation in Tokyo reached the Bank of Japan’s target of 2%, indicating that the economy is closer to meeting the conditions for an interest rate hike.
Although political and international economic uncertainties may prompt the Bank of Japan to hold off on a rate hike at its October meeting, the positive inflation data further strengthens market expectations for an interest rate hike in December or early next year, analysts say.