Japan Economics Weekly Finance Ministry poised to act (unsuccessfully) The renewed rise in the yen against the dollar and growing evidence of the damaging effect on the real economy have brought further warnings from Ministry of Finance over the inappropriate strength of... 6th February 2012 · 1 min read
Japan Economics Weekly Power uncertainty will accelerate hollowing out Growing uncertainty about the future of Japan’s power supply will accelerate the hollowing out of industry as electricity shortages discourage investment in Japan and encourage a shift of production... 30th January 2012 · 1 min read
Japan Economics Weekly Does talk of euro intervention make sense? The Japanese Finance Minister has floated the possibility of another round of intervention in foreign exchange markets, this time aimed at stemming the rise of the yen against the euro. However, this... 23rd January 2012 · 1 min read
Japan Economics Weekly Edging closer to a tipping point The FY2012 budget has increased our concerns that a tipping point in Japan’s public finances is getting closer. The proposed increase in the consumption tax to 10% would not be enough to put the... 16th January 2012 · 1 min read
Japan Economics Weekly Large external surpluses are now history Japan's current account surplus is on a declining trend, with the merchandise trade balance already in annual deficit. These developments will add to concerns over Japan's ability to finance its huge... 9th January 2012 · 1 min read
Japan Economics Weekly A look back at 2011 In this Weekly we take a look back at 2011. The devastating earthquake and tsunami in March was undoubtedly the most significant event of the year. Principally a human tragedy, the disaster also had... 22nd December 2011 · 1 min read
Japan Economics Weekly Growth to disappoint in 2012 The headwinds facing the Japanese economy are more likely to grow than abate, prompting us to revise down our GDP forecasts out to 2014. A sharp slowdown in the global economy is likely to leave... 19th December 2011 · 1 min read
Japan Economics Weekly Strong yen undermining efforts to control inflation The Japanese economy is sinking back into deflation. Domestically-generated inflationary pressures are non-existent, while the appreciation of the yen accentuates the effects of falling global... 12th December 2011 · 1 min read
Japan Economics Weekly Government relying on depleted fiscal firepower The Japanese government has announced a fourth fiscal budget in a sign it remains reliant on its fiscal firepower to support the economy. But there are limits to how much it can do and it is already... 5th December 2011 · 1 min read
Japan Economics Weekly A warning shot over public finances Recent events in advanced economies have underscored just how quickly market sentiment towards sovereigns with unsustainable finances can shift. Last week two warning shots were fired across the bow... 28th November 2011 · 1 min read
Japan Economics Weekly Another blow for the auto industry Temporary factors are likely to cause output in the auto sector to fall in the coming months. The period of restocking that has supported production appears to have largely run its course, both at... 21st November 2011 · 1 min read
Japan Economics Weekly Japan still a long way from joining free-trade pact Prime Minister Noda’s announcement on Friday that Japan would join negotiations on the Trans-Pacific Partnership free-trade agreement is a step in the right direction. Not only would the pact open up... 14th November 2011 · 1 min read
Japan Economics Weekly The success (or otherwise) of yen intervention The intervention by the Japanese authorities last Monday has succeeded in weakening the yen and reducing exchange rate volatility, for now at least. The Ministry of Finance has a long history of... 7th November 2011 · 1 min read
Japan Economics Weekly Disappointing end to an unimpressive Q3 Monthly data for September indicated a disappointing end to an unimpressive third quarter: industrial output and retail spending fell every month of the quarter while inflation turned positive for the... 31st October 2011 · 1 min read
Japan Economics Weekly Will GDP get a boost from house building activity? Japan’s beleaguered housing sector is still waiting for a boost from reconstruction-related building activity. When it comes, it may be partially offset by falling demand for housing. Even before the... 25th October 2011 · 1 min read
Japan Economics Weekly What can we learn from consumer confidence? The consumer confidence survey is the only direct gauge of consumer sentiment in Japan. In this Weekly we take a close look the construction of the survey and find it is a good leading indicator of a... 18th October 2011 · 1 min read
