USD/JPY flows: Tokyo CPI Stays elevated

Tokyo CPI stays elevated with headline at 2.9% y/y, ex fresh food 2.4% and ex fresh food & energy at 2.2%. The report does not only points toward transitory inflation, but also underlying inflationary pressure. The BoJ will be supported for their next hike, though the latest U.S. tariffs may affect their decision and make the BoJ to wait for more clarity on the scenario before acting.

USD/JPY is down 0.1% to 150.87.