Here’s a bit of a recap from Bloomberg of the trade balance data from this morning in Japan (a record 21-month run of deficits), putting it in context with recent other developments in the Japanese economy.
- The results are here
- Spending ahead of the tax rise boosted demand for foreign goods (nationwide department store sales jumped 25.4 percent in March from the previous year, the biggest gain since at least 1991, according to data compiled by Bloomberg), and a surge in energy costs due to the yen’s slide and nuclear shutdowns helped make the deficit the biggest ever for March
“The deficit is likely to continue for the next few years on rising resource prices and a shift overseas of Japanese companies’ production,” Koya Miyamae, an economist at SMBC Nikko Securities Inc. in Tokyo, said before the report
- Consumer confidence fell in March for a fourth straight month to 37.5, down from 45.7 in May last year
- The government cut its view of the economy in April, the first lowering of its assessment since November 2012. A lower evaluation of imports was one factor cited by a government official for the downgrade.
More at Bloomberg, here
