The Bank of Japan's core inflation index accelerated its upward trend last month, significantly higher than the target level. The authorities warned that there is a risk of inflation exceeding the standard. This data provides support for a continued increase in the benchmark interest rate. The Bank of Japan released a report on Friday showing that after excluding fresh food and special factors, consumer prices rose 2.6% year on year in August, up from 2.3% in July. Special factors include government subsidies for gasoline and utility costs. The price index, which excludes fresh food, energy and special factors, rose from 1.6% to 1.8%. Previously, the Bank of Japan accelerated the pace of interest rate hikes last week and emphasized that there is a risk that inflation will break through the 2% target. According to government data, Japan's overall inflation level is lower than the central bank's target due to relevant policies to curb the cost of living. Meanwhile, the indicators released on Friday excluding policy disruptors will support the central bank's position of continuing to raise interest rates.

The Bank of Japan's core inflation index accelerated its upward trend last month, significantly higher than the target level. The authorities warned that there is a risk of inflation exceeding the standard. This data provides support for a continued increase in the benchmark interest rate. The Bank of Japan released a report on Friday showing that after excluding fresh food and special factors, consumer prices rose 2.6% year on year in August, up from 2.3% in July. Special factors include government subsidies for gasoline and utility costs. The price index, which excludes fresh food, energy and special factors, rose from 1.6% to 1.8%. Previously, the Bank of Japan accelerated the pace of interest rate hikes last week and emphasized that there is a risk that inflation will break through the 2% target. According to government data, Japan's overall inflation level is lower than the central bank's target due to relevant policies to curb the cost of living. Meanwhile, the indicators released on Friday excluding policy disruptors will support the central bank's position of continuing to raise interest rates.