Japan’s economy expanded faster than expected last quarter led by solid domestic demand, boosting the case for the Bank of Japan to raise its benchmark rate again this year while giving embattled Prime Minister Shigeru Ishiba some rare good news.
Gross domestic product grew at an annualized pace of 1% in the three months through June from the prior period, surpassing economists’ forecast of a 0.4% gain, the Cabinet Office reported Friday. Authorities revised the previous quarter’s results to 0.6% growth, reversing from a preliminary contraction.
Gains were led by business investment, which rose 1.3% from the previous quarter, surpassing the consensus estimate of 0.7% growth. Private consumption nudged 0.2% higher.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.