Japan's inflation accelerates, keeps BOJ rate-hike chance alive

Core consumer prices in November rise 2.7% on the year

20241220 Bank of Japan file photo

Japan's inflationary trend could give the Bank of Japan "confidence that it can resume rate hikes over the months ahead," Capital Economics researchers say.

TOKYO (Reuters) -- Japan's core inflation accelerated in November as rising food and fuel costs hit households, data released on Friday shows, keeping the central bank under pressure to raise interest rates.

The data, which came a day after the Bank of Japan decided to maintain interest rates at 0.25%, highlights broadening inflationary pressure that could prod the bank to raise borrowing costs further.

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