Bank of Japan expected to hold rate at 1.25% as inflation stays in focus
The central bank's quarterly projections and Governor Kazuo Ueda's comments could provide clues to the timing of another rate increase.
Tokyo core inflation slows to 2.6%, still above BOJ target
The October reading matched the market forecast ahead of the Bank of Japan's October 30 policy announcement.
Tokyo's core consumer inflation eased to 2.6% in October, government figures showed on October 30, remaining above the Bank of Japan's 2% target. The annual increase matched the median market forecast and compared with September's 2.7% rise.
The core measure counts fuel costs but excludes fresh food. A separate index excluding both categories increased 2.6% from a year earlier, slowing from 2.9% in September. The BOJ closely monitors that measure to assess the underlying inflation trend.
The figures were published before the central bank's policy announcement scheduled for later on October 30. Tokyo's inflation readings are regarded as an early indication of price developments across Japan.
In September, the BOJ lifted its policy rate to its highest level in 31 years. Its governor signaled that the bank's focus had shifted toward keeping underlying inflation from exceeding its target, pointing to the possibility of additional rate increases.