Japan's Inflation Slips Below BOJ Target, Complicating Rate Hike Outlook

Japan's core consumer price index rose 1.6% year-on-year in February, falling below 2% for the first time in nearly four years, which complicates the Bank of Japan's commitment to future interest rate increases. BOJ Gov. Kazuo Ueda stated he isn't ruling out a rate hike at the next meeting in April, citing the need to monitor both upside and downside risks to prices.