Japan inflation data - Tokyo area CPI 0.4% y/y (vs. 0.7% expected)

Tokyo area CPI was expected to have gotten a boost from the sales tax hike on October 1.

Yeah, about that …

Tokyo CPI 0.4% y/y,

• expected 0.7%, prior was 0.4%

Tokyo CPI excluding Fresh Food 0.5% y/y,

• expected 0.7%, prior was 0.5%

Tokyo CPI excluding Food, Energy 0.7% y/y,

• expected 0.7%, prior was 0.6%

Tokyo area CPI will be followed by national level CPI for the month in three weeks. The numbers were expected to be up on the new tax. Yikes. Not at all. At least for the Tokyo data. I wonder if this will nudge expectations for the BOJ more dovish?