April core CPI rises 2.2 yy, cools from March, matches f39;cast
Corecore CPI rises 2.4, slows from March
Soft consumption likely to reinforce BOJ caution on rate hikes

TOKYO, May 24 Reuters Japan39;s core inflation slowed for a second straight month in April, likely signalling that the Bank of Japan will be patient in raising interest rates as consumption remains fragile.

While inflation is tracking comfortably above the central bank39;s 2 target, policymakers are keen to see Japan39;s price impulse bears the stamp of sustainable domestic demand.

The nationwide core consumer price index CPI, which excludes fresh food items, rose 2.2 from a year earlier after gaining 2.6 in March, government data showed on Friday. It matched the median market forecast.

The core core index, which excludes both fresh food and energy costs and is closely watched by the Bank of Japan as a key gauge of broader inflation trends, rose 2.4 after increasing 2.9 in March. That marked the slowest growth since September 2022.

Inflation data is seen as key to further decisions on rate hikes by the BOJ, which wants to push interest rates higher albeit gradually after ending negative rates in March in a landmark shift away from its decadelong supereasy monetary policy.

Weak consumption has made it difficult to raise prices in April and May, Koya Miyamae, senior economist at SMBC Nikko Securities, said.

He said the BOJ would need to see the corecore inflation stop cooling down before raising…