AI Data Insight
Japan's Q2 2026 core CPI, excluding fresh food, rose to 112.5, higher than the previous value of 112.1 in Q1 2026, with the overall index continuing to hit historical highs. However, external consensus indicates that the year-over-year (YoY) growth rate for the same period was only 1.4%, falling short of market expectations of 1.7%. Suppressed by government energy subsidies and free education policies, the slowing YoY inflation rate has added uncertainty to the Bank of Japan's subsequent pace of monetary normalization.