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- Japan exits recession – GDP +2.2%
Japan exits recession – GDP +2.2%
Asia's second largest economy exited recession in the final quarter of last year although growth was weaker than expected as household and corporate spending were disappointing. The country slid into recession last year. Sunday's data on Japan's GDP for the fourth quarter came in at +0.6% from -0.6% (revised from +1.5%) in the previous quarter, following two quarters of contraction. Year on year GDP rose by +2.2% compared to -2.3% (revised from +2.0%).
Economic Minister Akira Amari said that the economy was on track for a recovery with signs consumer sentiment picking up.
Month on month Industrial Production rose less than expected +0.8% in December compared to +1.0% in November. Analysts expected an increase of +1.0%.
Last week the yen rose as insiders said the BoJ sees further monetary easing as counterproductive for now as more stimulus would further hurt the currency. Now all eyes are on BoJ Governor Kuroda's speech scheduled for Wednesday ending BoJ two-day policy meeting.
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