Annual core inflation in Japan's capital accelerates in July

Annual core inflation in Japan's capital accelerates in July TOKYO, July 31 : Annual core inflation in Japan's capital accelerated in July, data showed on Friday, a sign of broadening price pressures from the Middle East conflict that keeps the central bank on track to consider further raise interest rates. The Tokyo core consumer price index (CPI), which excludes volatile fresh food costs, rose 1.9 per cent in July, compared with a median market forecast for a 1.7 per cent gain. It followed a 1.6 per cent rise in June and stayed below the BOJ's 2 per cent target for a sixth straight month. An index stripping away the effect of fresh food and fuel, which is closely watched by the BOJ as a better gauge of trend inflation, rose 2.0 per cent in July after a 1.9 per cent gain in June. The BOJ is widely expected to keep interest rates steady on Friday after raising them to a 31-year high of 1 per cent in June, as the economy faced mounting inflationary pressure from the Middle East war and a weak yen. [Image text:] 48 RRE 129. 139 48 ARE! 91-772 179 193, 7735-L 213 213 98 077 52g &3 ARE AC 728