FX.co ★ Japan Core Inflation Rate Eases to 3-Month Low

Japan's core consumer price index, excluding fresh food but including energy, increased by 3.3% in June 2025 compared to the previous year. This marked the first deceleration in growth since February, following a 3.7% rise in the preceding month, aligning with market expectations. It was also the slowest increment recorded since March, sparking optimism that the Bank of Japan might consider easing its monetary policy. In the previous month, the Bank of Japan maintained its benchmark interest rate at 0.5%. However, earlier this month, BOJ board member Hajime Takata suggested that after a temporary pause, the central bank should resume interest rate hikes to evaluate the impact of U.S. tariffs on Japan's economy.