Wednesday, July 30, 2008

Japanese Wages Fall Again In June

Even nominal wages fell in June in Japan, the first time this year that this has happened. Falling nominal wages had been a commonplace with Japan's deflation, but now that we have some form of inflation back, then this is rather more surprising. Monthly wages, including overtime and bonuses, decreased 0.6 percent in June from a year earlier to 463,013 yen ($4,294), according to the latest data

Japan Industrial Output Falls In June

Japan's industrial production fell back in June, the same month as exports declined for the first time in four years. Factory output was down 2 percent from May, when it rose 2.8 percent, according to the latest data from the Trade Ministry.The Trade Ministry also lowered its assessment of industrial production, saying output is weakening after previously describing it as flat with signs of

Monday, July 28, 2008

Japanese Unemployment Rises In June Earnings Fall

Japan's seasonally adjusted unemployment rate rose to its highest level in almost two years in June adding to signs that the economy's longest postwar expansion may now finally be coming to an end. The June jobless rate climbed to 4.1 percent, according to the latest data from Japan's statistics bureau. Thi si the highest rate since September 2006. The ratio of job offers available for each

Thursday, July 24, 2008

Japanese Consumer Price Rises Accelerate in June

Japan’s core consumer prices, which include energy and processed food, increased in June at the fastest rate since the Japan's lost decade-and-a-half began in 1992 - at least if we strip out the temporary spike caused by the effect of the consumption tax increase in 1997. The increase however came almost entirely from higher energy costs and food prices. Core prices, which exclude fruit, fish

As Exports Slow, Is Japan Recession Bound?

This is an interesting question, and my immediate response is yes, recession looks almost inevitable in Japan with exports folding the way they are in an economy where domestic consumption is unable to sustain growth.Japan's exports fell year on year for the first time in more than four years in June (although they had been down month on month in both May and April, and ironically they were up in

Tuesday, July 15, 2008

Not Much News from the East

By Claus Vistesen CopenhagenAs predicted, the Bank of Japan ended its two day policy meeting with a holding operation. In its statement which, it has to be said, is relative brief the BOJ emphasised that significant downside is present with respect to the future course of domestic activity in the form of fixed capital formation and consumption. It was also interesting to note that the BOJ moved

Friday, July 11, 2008

Japan Consumer Confidence Fall To Record Low In June 2008

Japanese consumers became more pessimistic than they have been at any tim in at least 26 years in June as higher energy prices and food costs steadily eroded their spending power. The Japanese Consumer Confidence Index dropped to 32.6 from 33.9 in May, according to data from the Japanese Cabinet Office earlier today. This the lowest reading registered since the government began compiling the

Thursday, July 10, 2008

The BOJ to Stand Pat

By Claus Vistesen CopenhagenMonetary policy makers are often difficult to gauge, but looking forward to the BOJ meeting come next week (Monday and Tuesday) one thing seems fairly certain; the BOJ is going to hold off its guns yet again. That was also the conclusion reached by Bloomberg as they conducted a survey of 39 economists who unanimously called it a holding operation.On the face of it the

Japan Exports Slow and Current Account Surplus Drops in May 2008

Japan's current-account surplus narrowed for a third month in May as export growth slowed and record oil prices pushed up the import bill. The surplus shrank 5.9 percent to 2 trillion yen ($18.7 billion) from a year earlier, according to the latest data from the Ministry of Finance. Exports rose 4.2 percent in May from a year earlier, compared with 4.9 percent in April. Imports climbed 4 percent,

Wednesday, July 9, 2008

Uptick in New Machinery Orders In May

Well, nothing in economics is ever a one way street, and just to prove it orders for Japanese machinery rose at 10 times the pace most economists were expecting in May, as demand increased for equipment used to make semiconductors and steel. Machinery and equipment orders, which give some indication of likely capital spending in the next three to six months, rose 10.4 percent from April when they

Monday, July 7, 2008

The Japan Economy Watchers Index Falls Again In June

by Edward Hugh: BarcelonaThe Economy Watchers index - a survey of barbers, taxi drivers and others who serve the general public directly was down again in June, falling to 29.5 (a six year low)from 32.1 in May, according to data from the Cabinet Office today. The forward looking index for conditions in two to three months time slid to 32.1, its worst reading since September 2001 (down from 35.1.

Sunday, July 6, 2008

Japan - Still Fighting off the Recession; When Will the Strength Ebb Out?

By Claus Vistesen CopenhagenJapan is still hanging on it seems, but for how long? This is what I will try to clarify in this entry. In the following I will thus continue my ongoing analysis on two months' worth of data as well as loads of timely analysis from other sources where, as usual, Ken Worsley and Takehiro Sato/Feldman from Morgan Stanley have my complete attention. In accordance with