Core inflation in Japan's capital stays above BOJ target in July

This photo taken on April 21, 2025 shows a customer walking past a display of instant noodles at a branch of Japanese discount retailer Don Quijote, also known overseas as Don Don Donki, in the Shibuya district of central Tokyo. (Photo by Richard A. Brooks / AFP)

TOKYO: Core consumer inflation in Japan's capital stayed well above the central bank's 2% target in July, data showed on Friday, adding to renewed market expectations for another interest rate hike this year.

The data will be among factors the Bank of Japan will scrutinise at its next rate review on July 30-31, when the board is expected to revise up this fiscal year's inflation forecast in a quarterly review of its projections.