The Traderszone Network

Published in TZ Latest News 28 August, 2014 by The TZ Newswire Staff

Japan household spending slumps, output flat as tax pain persists

Japanese household spending fell much more than expected and factory output remained weak in July after plunging in June, government data showed, suggesting that soft exports and a sales tax hike in April may drag on the economy longer than expected. While the Bank of Japan is in no mood to expand monetary stimulus any time soon, the data undermines the BOJ’s rosy economic forecasts and will keep it under pressure to act if the economy fails to gather momentum, analysts say.

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