Tokyo Inflation Slows in January, Adding Uncertainty Around BOJ Policy Shift
• Tokyo's core CPI rose 1.6% in January, slower than the median forecast of 1.9% and the lowest in nearly 2 years • It underscores policymakers' view that "cost-push" inflation pressures are easing • Focus is shifting to whether wage growth can sustain consumption and achieve BOJ's 2% inflation target • Core-core index rose 3.1% in January, slowing from 3.5% in December, closely watched by BOJ • Many expect BOJ to end negative rates this year, with growing number betting on March or April