Sources: Bank of Japan may signal that core inflation has reached the 2% target

Media cited three people familiar with the matter as saying that the Bank of Japan may signal this month that core inflation has roughly hit its 2% target, highlighting its readiness to raise interest rates again in the coming months. Such a statement would be largely symbolic, but it would reinforce the market's mainstream expectation that rates will rise in December, while also signaling that the BOJ is prepared to continue raising rates in the near term. The BOJ has begun to emphasize the need for core inflation to stabilize near the target when judging the pace and timing of subsequent rate hikes. The people familiar with the matter said the central bank just completed a rate hike in September, and most officials internally are cautious about raising rates again this month, preferring to wait for more data to assess the impact of the previous hike on domestic financial conditions.