Japan’s core inflation rate climbed at its fastest rate in more than two years in April, piling pressure on the Bank of Japan as it seeks to normalise the country’s interest rates and the unpopular government of Prime Minister Shigeru Ishiba.

The core inflation figure was higher than expectations of 3.4%. Headline inflation climbed 3.6% from a year ago. Japan's core inflation accelerated to 3.5% in April, government data showed on Friday,

Hotter-than-expected core inflation supports a Bank of Japan interest rate hike in July. The BoJ is expected to deliver a 25 bp hike and then stay put for a considerable time due to high uncertainty surrounding US tariffs.

TOKYO (Reuters) -Japan's Prime Minister Shigeru Ishiba said on Friday he held a 45-minute phone call with U.S. President Donald Trump to discuss tariffs, diplomacy and security issues.

US President Donald Trump initiated a phone call with Japanese Prime Minister Shigeru Ishiba and discussed tariffs in general terms, just as Tokyo’s top negotiator left for the US for another round of trade talks.

Japan’s Prime Minister Shigeru Ishiba said Friday that he spoke by telephone with U.S. President Donald Trump and agreed to hold “productive” discussions at an upcoming round of tariff talks between the two sides.