By Satoshi Sugiyama

TOKYO (Reuters) -Japanese household spending in September rose 1.8% from a year earlier, government data showed on Friday, slightly worse thanthe median market forecast for a 2.5% rise.

On a seasonally adjusted, month-on-month basis, spending fell 0.7%, versus an estimated 0.1% fall, internal affairs ministry data showed.

Consumption and wage trends are among key factors the Bank of Japan is watching to determine the timing of the next rate hike.

Prime Minister Sanae Takaichi said this week Japan was still “half way” in achieving sustainable and stable price growth backed by solid wage gains, signalling her preference for the central bank to go slowly in raising interest rates.

Japan’s inflation-adjusted real wages for September slumped for the ninth consecutive mo

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