Bank of Japan to Assess Whether Underlying Inflation Has Reached 2%

The Bank of Japan will assess at its Oct. 29-30 policy meeting whether underlying inflation has reached 2%.

The review concerns underlying inflation. The BOJ defines its formal 2% price-stability target using the consumer price index.

The bank adopted the target in January 2013. It has repeatedly pushed back expectations for reaching it despite an aggressive monetary easing program.

A finding that underlying inflation has reached 2% would mark a symbolic shift in the bank’s long effort to move beyond policies aimed at fighting deflation.