ZCZC
BCN-02
JAPAN-ECONOMY-GDP
Japan economy returns to black after first dip in two years
TOKYO, Aug 10, 2018 (BSS/AFP) – Japan’s economy returned to growth in the
second quarter following its first contraction in two years, official figures
showed Friday, but fears of US trade wars clouded the outlook.
The world’s third-largest economy grew 0.5 percent quarter-on-quarter in
the April-June period, compared with a 0.2-percent decline in January-March,
the Cabinet Office said.
The figure — annualised at 1.9 percent — was better than market consensus
of 0.3 percent growth, according to data compiled by Bloomberg News.
Private consumption, which accounts for some 60 percent of Japan’s GDP,
rose 0.7 percent, recovering from a 0.2-percent decline in the first quarter.
The data represented a quick turnaround after a series of eight consecutive
quarters of growth ended in January-March, interrupting a winning streak not
seen since the heady days of Japan’s “miracle” boom of the 1980s.
But analysts warned US-led trade wars could be a major risk factor for an
economy still struggling to win a long battle against deflation.
BSS/AFP/MRI/0838 hrs