Japan's core inflation cooled to 3.3% in June, coming down from a 29-month high of 3.7% as rice inflation showed signs of easing. The figure — which strips out costs for fresh food — was in line with the 3.3% expected by economists polled by Reuters. Headline inflation in the country dropped to 3.3%, coming down from 3.5% in May.

The election Sunday is about inflation that has been running between 3.5 percent and 4 percent.

Japan's core inflation slowed in June but stayed above the central bank's 2% target for well over three years, highlighting lingering price pressures that back market expectations for further interest rate rises.

Japan's annual inflation rate eased to 3.3% in June 2025 from 3.5% in the previous month, marking the lowest reading since last November. Japan's core CPI also rose by 3.3% year-on-year in June 2025,

Mr Shigeru Ishiba’s coalition appeared to have disastrously lost its Upper House majority. Read more at straitstimes.com. Read more at straitstimes.com.

Japanese Prime Minister Shigeru Ishiba clung on Monday even after his coalition suffered what he called an "extremely regrettable" election result, as painful new US tariffs loom.

Japanese Prime Minister Shigeru Ishiba on Monday stressed the need to establish a common understanding among parties on the pros and cons of cutting the country's sales tax rate.

Japanese voters head to polls in a crucial upper house election amidst concerns over inflation and immigration. The Liberal Democratic Party, led by Prime Minister Shigeru Ishiba, risks losing control,