Japan’s consumer inflation increased in January because of higher energy and food costs, likely adding fuel to speculation that an interest-rate hike is coming soon.

Core inflation — which excludes prices of fresh food — rose to 3.2% from 3% in the prior month and beat economists’ expectations of 3.1%, according to a Reuters poll.

Japan's core consumer inflation hit 3.2% in January for its fastest pace in 19 months, data showed on Friday, reinforcing expectations that the central bank will keep raising interest rates from levels still seen as low.

Japans core consumer price index (CPI) rose 3.2% year-over-year in January, reaching a 19-month high, exceeding the market forecast of 3.1% and Decembers 3.0% gain. The surge reinforces expectations that the Bank of

This comes as the BOJ was revealed to have considered further rate hikes at its January meeting, warning of inflation risks and a weak yen.