Japanese household spending (September) +1.8% y/y (missing the +2.5% expected)

Japan data for September 2025:

Household Spending +1.8% y/y

• expected +2.5%, prior +2.3%

-0.7% m/m

• expected -0.1%, prior +0.6%

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The Bank of Japan won't be overly impressed with this. A slow and cautious rate hike path seems to still be likely. Yesterday was a ixed bag on wages data:

• real wages fell 1.4% y/y in September — the ninth straight decline — highlighting the challenge for the BoJ, though base pay for regular workers rose 2.2%.