AI Data Insight
According to the latest data, the Tokyo core CPI month-over-month (MoM) growth rate for Japan in Q3 2026 came in at 0.4%, decelerating from the previous 0.7%. Despite the narrowing of the short-term monthly increase, external consensus and data show that the year-over-year (YoY) growth rate surged to 2.7% during the same period. Coupled with a significant heating up of service sector inflation, this continues to strengthen market expectations for subsequent interest rate hikes by the Bank of Japan (BOJ).