Japan’s Economy Grew 2.3%, Less Than First Estimated

Japan’s economy grew less than initially estimated in the second quarter as companies cut spending and stockpile levels fell.

Gross domestic product expanded at an annual 2.3 percent pace in the three months ended June 30, following a 12.4 percent contraction in the first quarter, the Cabinet Office said in Tokyo. Economists surveyed by Bloomberg News forecast a 3.7 percent expansion, unchanged from the preliminary report.

The recovery is already showing signs of slowing. The Democratic Party of Japan, which last month unseated a government that’s ruled for 55 years, inherits an economy where more than a third of the country’s factory capacity sits idle and unemployment has surged to a record high.

“This is a weak recovery,” said Tetsuro Sugiura, chief economist at Mizuho Research Institute in Tokyo. “Consumers and business are anxious about the outlook.”

The yen traded at 91.70 per dollar at 8:59 a.m. in Tokyo from 91.65 before the report was published.

Last quarter’s growth was led by a bounce in exports and consumer spending. Manufacturers such as Nippon Steel Corp. saw orders rise as customers rebuilt stockpiles depleted during the recession, while construction equipment-makers like Komatsu Ltd. befitted from China’s 4 trillion yuan ($586 billion) in stimulus spending. Consumers also spent more on cars and electronics, as incentives introduced by the outgoing Liberal Democratic Party took effect.

“The economy has gotten a boost from the inventory cycle, stimulus packages at home and abroad, and pent-up demand,” said Hiroshi Shiraishi, an economist at BNP Paribas in Tokyo. “These factors will fade probably by year end.”

Prediksi UJ

Hari Jumat ini diperkirakan UJ akan tetap dalam tekanan turun.
Kenaikkan index bursa di US selama seminggu ini tidak menaikkan nilai Dollar terhadap mata uang utama dunia. Treasury US terus mengalami tekanan, hari kamis ini bahkan turun rata rata 3%.

Peran greenback sebagai mata uang utama dunia mulai di pertayakan. Di prediksi tekanan terhadap Dollar masih akan kuat.