0043 GMT - Fresh economic activity and inflation data suggest that the Bank of Japan won't wait much longer before hiking rates again, Capital Economics' Marcel Thieliant says. January retail sales values jumped on month, and though the dataset has been a poor guide to consumption recently, Thieliant expects the BOJ's consumption activity index--a more reliable barometer of consumer spending--to also record a robust rise. Meanwhile, a core gauge of inflation in Tokyo showed that price growth excluding fresh food and energy edged up in February, leaving it firmly above the BOJ's 2% target. Elsewhere, industrial production was much weaker than expected in January, and forecasts signal a decline in output this quarter, the economist notes. But on balance, the data point to conditions conducive to further tightening. (fabiana.negrinochoa@wsj.com)

(END) Dow Jones Newswires

February 26, 2026 19:43 ET (00:43 GMT)

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