Tokyo’s core CPI (ex-fresh food) slowed more than expected in June, coming in at 3.1% yoy versus 3.6% yoy in May and below forecasts of 3.4% yoy. The decline was largely driven by the resumption of fuel subsidies and temporary reductions in utility charges. Core-core CPI, which strips out both fresh food and energy, also eased to 3.1% yoy from 3.3% yoy.
However, the figure masks ongoing strain on household budgets. Food prices (excluding volatile items) rose a sharp 7.2% yoy, accelerating from May’s 6.9% yoy. Tokyo consumers paid nearly 90% more for rice and faced eye-watering increases in chocolate and coffee costs. Service prices edged down slightly but remained elevated at 2.1%.
On the labor side, Japan’s May jobless rate held steady at 2.5%, while the job-to-applicant ratio slipped slightly to 1.24.
 slowed more than expected in June, coming in at 3.1% yoy versus 3.6% yoy in May and below forecasts of 3.4% yoy. The decline was largely driven by the resumption of fuel subsidies and temporary reductions in utility charges. Core-core CPI, which strips out both fresh food and energy, also eased to 3.1% yoy from 3.3% yoy.){kind=link}