Japan Data Response

Labour Cash Earnings (Jan.)

While wage growth rebounded in January, it remains low by past standards. With the upcoming spring wage negotiations set to result in smaller pay hikes than last year, the labour market will not...

4th March 2016 · 1 min read

Japan Data Response

Capital Expenditure (Q4)

Today’s capital spending figures suggest that investment spending was a touch weaker last quarter than initially estimated, but revised GDP data due on Monday should confirm that output shrank by 0.4%...

1st March 2016 · 1 min read

Japan Data Response

Unemployment & Household Spending (Jan.)

While the labour market continues to tighten, consumer spending remained sluggish at the start of the new year.

1st March 2016 · 1 min read

Japan Data Response

Industrial Production & Retail Sales (Jan.)

The rebound in industrial production in January is unlikely to assuage concerns about the health of Japan’s economy as firms are predicting a renewed slump in February.

29th February 2016 · 1 min read

Japan Data Response

Consumer Prices (Jan.)

We estimate that the Bank of Japan’s new favourite inflation measure moderated in January. In light of falling import prices and sluggish economic activity, we think that the slowdown in underlying...

26th February 2016 · 1 min read

Japan Data Response

Small Business Confidence (Feb.)

While small business confidence picked up in February, firms project a deterioration in March allowing for seasonal factors.

24th February 2016 · 1 min read

Japan Data Response

Flash Manufacturing PMI (Feb.)

The manufacturing PMI fell to an eight-month low in February and suggests that business sentiment has suffered from the sharp falls in the equity market and the stronger yen.

22nd February 2016 · 1 min read

Japan Data Response

External trade (Jan.)

The trade surplus climbed to a fresh high in January, and should continue to improve for now as cheaper energy prices have yet to be fully reflected in the import bill.

18th February 2016 · 1 min read

Japan Data Response

Machinery Orders (Dec.)

Today’s data on machinery orders suggest that the preliminary estimate may have overstated the strength of non-residential investment last quarter .

17th February 2016 · 1 min read

Japan Data Response

GDP (Q4 Preliminary)

Japan’s economy shrank last quarter for the second time over the past year. While activity is set to pick up in coming months ahead of next year’s sales tax hike, the bigger picture is that spare...

15th February 2016 · 1 min read

Japan Data Response

Labour Cash Earnings (Dec.)

The continued stagnation in wage growth in December is disappointing and suggests that the outlook for labour income is even bleaker than we thought. This supports our view that the Bank of Japan will...

8th February 2016 · 1 min read

Japan Data Response

Consumer Confidence (Jan.)

Despite a small drop last month, consumer confidence remains strong. However, household inflation expectations are now approaching levels last seen before the Bank of Japan launched Quantitative and...

3rd February 2016 · 1 min read

Japan Data Response

Industrial Production, Household Spending, Unemployment & Consumer Prices (Dec.)

Today’s activity data were disappointing and suggest that Japan’s economy barely grew last quarter. While activity should recover in Q1, the moderation in underlying inflation suggests that the Bank...

29th January 2016 · 1 min read

Japan Data Response

Retail Sales (Dec.)

Retail sales weakened for the second straight month in December and private consumption probably dropped to levels last seen after the sales tax hike in Q4.

28th January 2016 · 1 min read

Japan Data Response

Small Business Confidence (Jan.)

The drop in small business confidence in January partly reflects seasonal patterns, and the bigger picture is that firms remain fairly upbeat.

27th January 2016 · 1 min read