Japan's Inflation Slows, Testing Bank of Japan's Rate Hike Strategy

Core consumer prices rose 2.2% in April, marking a second month of deceleration while staying above the BOJ's 2% target.

Japan's core consumer inflation eased to 2.2% in April, the lowest in three months.
The Bank of Japan remains cautious on further rate hikes amid weak yen and fragile consumption.
Factory output and retail sales showed signs of economic recovery in April.
Analysts expect wage gains in the coming months to impact inflation and spending.
The yen's depreciation continues to raise concerns over cost-push inflation.