Economic Growth in Japan Falls Short of Second Quarter Estimates
During the second quarter, the gross domestic product of Japan expanded at an annualized pace of 1.1%. This figure missed the 2.0% consensus projection and represents a noticeable drop from the 2.1% growth recorded in the preceding quarter.
Because domestic actions are necessary to stabilize the yen, this economic shortfall carries significant weight for future policy decisions. This is especially true since the effects of the recent joint currency intervention are steadily fading away, which you can read more about in our weekly note.
At the same time, clear signs of pressure are visible within the markets. The yield on 10-year Japanese government bonds has climbed to 2.92%, marking its highest peak since 1996.
A related Reuters headline is provided below.
#economy #Japan #growth #yen #currency
During the second quarter, the gross domestic product of Japan expanded at an annualized pace of 1.1%. This figure missed the 2.0% consensus projection and represents a noticeable drop from the 2.1% growth recorded in the preceding quarter.
Because domestic actions are necessary to stabilize the yen, this economic shortfall carries significant weight for future policy decisions. This is especially true since the effects of the recent joint currency intervention are steadily fading away, which you can read more about in our weekly note.
At the same time, clear signs of pressure are visible within the markets. The yield on 10-year Japanese government bonds has climbed to 2.92%, marking its highest peak since 1996.
A related Reuters headline is provided below.
#economy #Japan #growth #yen #currency