Overview

• June's core consumer prices rose 2.6% from the previous year, marking the second consecutive month of acceleration.
• The Bank of Japan may raise interest rates at its July 30-31 meeting, following a decade of ultra-loose monetary policy.
• Higher energy prices, exacerbated by the end of government subsidies, significantly contributed to the inflation rise.
• Economists are divided on the timing of the rate hike, with some expecting it in July and others predicting later in the year.
• The weak yen has compounded inflationary pressures, increasing the cost of imported goods and straining household budgets.