Economists expected Japan’s third quarter GDP would drop 0.1%. The preliminary forecast was -0.4%.
Japan just announced capital spending was even worse than reported. Compared to last last quarter, the estimate now is -0.5%.
For those who prefer looking at annualized numbers, Japan’s third-quarter GDP revised down to annualized 1.9 percent contraction.
Japan’s economy shrank an annualized 1.9 percent in July-September from the previous quarter, worse than a preliminary 1.6 percent contraction as capital expenditure fell more than initially estimated, revised government data showed on Monday.
On a quarter-on-quarter basis, the economy shrank 0.5 percent in the third quarter, against a preliminary reading of a 0.4 percent drop, the Cabinet Office data showed. The result compared with a median market forecast for a 0.1 percent contraction.
Capital expenditure fell 0.4 percent from the previous quarter, more than a preliminary 0.2 percent decline.
Expect more printing: As everyone knows, if at first you don’t succeed, do even more of what didn’t work.
Mike “Mish” Shedlock