Inconsolata font does not work in Terminal
Try to clear and rebuild your font cache with the following:

sudo atsutil databases -remove
sudo atsutil server -shutdown
sudo atsutil server -ping


The above is "my standard answer" to font problems.

After your reply, I tried to download the font too. Installed it and in the Terminal.app got the same result as you. So +1 to the question - I'm interested too.

So,


removed the otf version (does not work)
I downloaded the ttf version from the Google Fonts Directory
removed my cache as above
installed the ttf version
and works.


after it, for the test:


removed the ttf version
cleaned the cache
installed the otf version
does not work


so again for ttf - and have a working version in my Terminal.app

Haven't any idea why the otf version does not work. ;(