Japan's wholesale inflation slows to 2.5% in August due to lower commodity prices and a stronger yen.

In August, Japan's wholesale inflation slowed to 2.5% year-on-year, down from 3.0% in July, due to lower commodity prices and a stronger yen that reduced import costs. The Producer Price Index fell 0.2% month-on-month. While consumer inflation is expected to temporarily rise to 3.0%, it may decline again with the return of energy subsidies. The Bank of Japan may reconsider interest rate hikes if economic growth improves, potentially as soon as December.