Japan's core inflation rate slowed below the Bank of Japan's 2% target in February, according to government data released Friday. The consumer price index excluding fresh food fell short of economist expectations, marking the fourth consecutive month of easing headline inflation.

The inflation data complicates the central bank's monetary policy outlook as officials weigh future interest rate decisions. Core CPI, which excludes volatile food prices, serves as a key metric for the Bank of Japan's policy deliberations.

Separately, Japanese officials are reportedly exploring potential intervention in oil futures markets, according to sources familiar with the matter. Finance Minister Shunichi Suzuki stated the government stands ready to act "on all fronts" when asked about reports of possible oil market intervention.

The developments come as Japan grapples with economic pressures from volatile energy costs and inflation trends that have remained below the central bank's target. Officials are said to be consulting with market participants about potential oil futures intervention measures, though no formal action has been announced.

The combination of subdued inflation and potential energy market intervention reflects Japan's broader economic challenges as policymakers seek to balance price stability with economic growth objectives.