GDP marks first contraction in 9 quarters

GDP marks first contraction in 9 quarters

Andrew Cummings
May 16, 2018

Also, the yen strengthened against other major currencies on safe-haven buying, clouding the prospects for Japanese exporters.

They say the preliminary real GDP fell 0.2 percent from the previous quarter.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile, lost 2.24 points, or 0.12 percent, to 1,802.91.

The central bank in Thailand will wrap up its monetary policy meeting and then announce its decision on interest rates.

Japanese government officials expect the decline to be temporary.

Economists say Japan's first-quarter contraction is temporary, but the rebound will not be almost as strong as previous quarters.

Wednesday's data marked the end to eight straight quarters of economic expansion, which was the longest stretch of growth since a 12-quarter run between April-June 1986 and January-March 1989.

Capital investment was down 0.1 percent. The median estimate was for consumer spending to remain unchanged.

Maruyama of SMBC Nikko Securities.

The world's third-largest economy is shrinking again.

The Japanese economic system has been comparatively wholesome in latest quarters, selecting up from the doldrums that spanned earlier a long time, on extraordinarily free lending and a authorities program created to combat deflation - the continuous spiraling down of costs.

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