Tokyo Core Inflation Slows to 2.3% in December, Below Forecasts

Consumer prices excluding fresh food rose less than expected, with overall inflation easing to 2.0% but core indices still above the Bank of Japan's target.

Summary

Tokyo’s core consumer price index, excluding fresh food, increased 2.3% year-on-year in December, lower than November’s 2.8% and below economists’ 2.5% forecast. Overall inflation fell to 2.0%, while an index excluding both fresh food and energy slowed to 2.6%. Despite easing, the latter remains above the Bank of Japan’s 2% target.

Terms & Concepts
  • Core Consumer Price Index (Core CPI): An inflation measure excluding volatile items such as fresh food to better reflect underlying price trends.
  • Bank of Japan’s Inflation Target: A policy goal set by the Bank of Japan aiming for a stable 2% annual rise in consumer prices.