Japan’s consumer inflation slowed only marginally in July, with core prices excluding fresh food rising 3.1% from a year earlier, government data showed on Thursday. The outcome topped the 3.0% market consensus but eased from June’s 3.3%, marking an eighth straight month above 3% and remaining firmly above the Bank of Japan’s 2% target. The broader core-core gauge, which also strips out energy costs and is closely watched by the central bank, held at 3.4%. Energy prices turned negative for the first time in a year, falling 0.3% after a 2.9% increase in June, helping to temper headline inflation. In contrast, food continued to drive price growth: processed food costs climbed 8.3%, while rice prices were still up 90.7% year-on-year despite easing from the triple-digit gains seen earlier this year. The figures reinforce expectations that the BOJ could raise its short-term policy rate again before year-end. Traders pushed the yen higher against the dollar and sent 10-year Japanese government bond yields to fresh multi-month highs following the release.