Tokyo’s core consumer price index rose 1.9% year-on-year in August, easing from 2.0% in July and coming in slightly below market expectations of 2.0%, data from Japan’s Ministry of Internal Affairs and Communications showed. The gauge, which excludes fresh food, fell below the 2% threshold for the first time in several months as price gains slowed for processed food and household durables and energy contributed less to the increase. Excluding fresh food and energy, the core-core index rose 1.5%, down from 1.6% in July, pointing to still-moderate demand-driven inflation. The cooling reading arrives weeks before the Bank of Japan’s next policy meeting, where officials will weigh whether ultra-loose settings remain appropriate. Governor Kazuo Ueda has said any adjustment hinges on sustainable 2% inflation backed by wage growth and domestic demand. Economists say the modest easing, partly tied to energy base effects, may reduce pressure for an imminent hike, though the BOJ is likely to wait for clearer pass-through of wages into services prices. Global investors are watching the path for implications for the yen and Japanese government bond yields, while households gain some relief even as real wages have yet to keep pace with prices.