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Japan's inflation dips slightly, but BOJ might still raise rates
Japan's inflation is sticking above the Bank of Japan's 2% target—even though it cooled just a bit in July.
Prices (minus fresh food) were up 3.1% from last year, slightly less than June's 3.3%.
The dip mostly came from lower energy prices, which had spiked earlier.
Core inflation climbs to 3.4%
Core inflation (which leaves out both fresh food and energy) climbed even higher—up 3.4%, fueled by a huge jump in rice prices and more expensive processed foods.
With inflation staying stubbornly high, there's growing talk that the BOJ might finally raise interest rates to help with rising living costs.
Markets are now betting there's about a coin-flip chance of a rate hike by October.