The Bank of Japan will release new inflation indicators every month or aim to provide basis for its stance on raising interest rates

The Bank of Japan announced that it will release indicator data used to evaluate core CPI every month starting this month. Relevant data will be released in the name of "Core CPI Reference Indicators" and will be released at 14:00 on the second working day after the release of Japan's official CPI.<br /> Investinglive analyst Justin Low said that from a background perspective, the Bank of Japan has been questioned a lot because Japan's inflation data has become a little confusing. Japan's core CPI annual rate in February has fallen below the key 2% level, but the Bank of Japan seems determined to continue tightening monetary policy. The Bank of Japan hopes to provide evidence that actual underlying inflationary pressures remain strong. The bank believes that measures such as energy subsidies implemented by the Japanese government have led to artificially low CPI data.<br /> Therefore, the "core CPI reference indicators" released by the Bank of Japan now will be a "de-noised" interpretation of inflation figures. This is more about proving to the public and markets that they are still on the right path when it comes to monetary policy. If anything, this can also be interpreted as a slight resistance from the Bank of Japan to the government's will. Japanese Prime Minister Takashi Saami hopes that the Bank of Japan will keep current interest rates unchanged.