Indicators
Tokyo Inflation Slows a Tad More Than Expected on Subsidy Impact
- Industrial output fell 1.1% month on month in January
- Growth in retail sales accelerated to 3.9% year on year
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Inflation in Tokyo slowed more than expected as government subsidies meant to offset energy costs distorted readings, a result that isn’t likely to deter the central bank from considering more hikes to its benchmark interest rate.
Consumer prices excluding fresh food in the capital rose 2.2% in February from a year earlier, according to the Ministry of Internal Affairs on Friday. That missed the median estimate of 2.3% but was above the Bank of Japan’s target. Inflation barring fresh food and energy gained 1.9%, in a sign that underlying inflation is holding steady.