Japan's core inflation slowed in March and an index gauging broader price trends fell below 3% for the first time in over a year, data showed on Friday, as analysts say yen weakness could complicate the central bank's policy deliberations.
Inflation was 3.2 percent over the year through March, down from 3.4 percent in February but a touch higher than the 3.1 percent economists expected, a sign that the path to cooler inflation could be bumpy.
The Barron's news department was not involved in the creation of the content above. This article was produced by AFP. For more information go to AFP.com.
British inflation is broadly declining in line with the Bank of England's forecasts, and next month's numbers look on track for a sharp drop towards the central bank's 2% target, Governor Andrew Bailey said on Wednesday.
European Central Bank Executive Board member Luis de Guindos reiterated that a continuation in the downward trend in inflation should allow interest rates to be lowered — backing expectations for a cut in June.
The pound firmed on Thursday, taking advantage of a rare bit of dollar weakness and the pushing back of expectations of Bank of England rate cuts to drag itself further from Tuesday's five-month low on the greenback.
Inflation fell more slowly than expected last month due in part to higher fuel prices, increasing the chances that the Bank of England will delay cutting interest rates until much later this year.