30.10.202523:37:52UTC+00Tokyo Core Inflation Tops Expectations in October

In October 2025, core consumer prices in Tokyo's Ku-area increased by 2.8% compared to the previous year. This marks a rise from the 2.5% gains observed over the preceding two months and exceeded market expectations of a 2.6% increase. The inflation rate remained significantly above the Bank of Japan's target of 2%, bolstering predictions of a gradual transition toward a tighter monetary policy. During its October meeting, the Bank of Japan decided to maintain interest rates at 0.5%, a move anticipated by analysts, with a 7–2 vote supporting the decision. Board members Naoki Tamura and Hajime Takata once again advocated for an increase to 0.75%. The central bank maintained its stance that it would move forward with policy normalization once economic and price stability targets are achieved. Governor Kazuo Ueda highlighted that the economy is experiencing moderate recovery, yet he cautioned that uncertainties surrounding global trade policy could potentially hinder growth and corporate profits. Tokyo's inflation figures are closely observed as they often serve as a precursor to nationwide price trends.