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Japan Inc. Boosts Plant Spending 1.6%
1 Sep
Summary
- Japanese companies increased plant and equipment spending by 1.6% year-on-year.
- This spending data is crucial for revised GDP figures due September 8.
- Second-quarter economic growth slowed to 1.1% annually from 1.9%.
Japanese firms demonstrated increased confidence by raising their spending on plant and equipment by 1.6% during the second quarter of the year, from April to June, when measured against the same period in the previous year. This financial data is a significant component that economists will use to calculate the revised gross domestic product figures, which are scheduled for release on September 8.
Earlier preliminary data indicated that the Japanese economy had experienced a growth rate of 1.1% on an annualized basis during the second quarter. This represented a slowdown from the 1.9% growth recorded in the preceding quarter, largely attributed to a dip in both household and business expenditures.
