Japan data – May CPI Headline 2.8% y/y vs. 2.9% expected

The ‘core-core’ rate of inflation in May (core-core is that excluding food and energy, it’s the closest to the US measure of core inflation) has shown its slowest rise since September 2022.

The ‘core’ rate, which excludes fresh food, jumped from April though. This will keep the prospect of the BoJ rate hike alive.

A few minutes ago MoF official Kanda gave an intervention warning:

• Japan’s Kanda says ready to take action if excessive FX move seen

He knocked around 10 pips off USD/JPY, but that’s all in the past with it now hitting 158.94

This article was written by Eamonn Sheridan at www.forexlive.com.