Japan’s GDP Grew at 2.2% in Q3

Stronger exports and housing investment helped Japan’s economy grow at a 2.2 percent annualized pace in the July-September quarter, better than many analysts had anticipated and fast enough to stave off further central bank stimulus for now.

The Cabinet Office reported Monday that based on preliminary estimates, the economy expanded 0.5 percent from the previous quarter.

Initial growth estimates are often revised significantly based on updated data.

“Japan’s GDP figures are notoriously volatile, so we wouldn’t be too surprised it output fell in the current quarter,” Marcel Thieliant of Capital Economics said in a research note. “However, business surveys climbed to multi-month highs in October, which suggests that growth is holding up.”

The 2.2 percent pace of year-on-year growth was sharply higher than the 0.2 percent pace seen in April-June.

With unemployment at about 3 percent, aggregate income has risen even if wages have remained flat.

via Mainichi

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.