Household spending rose for the seventh straight month in June amid signs that resilient consumer activity could help counter the effects of weak global demand, although the consumption outlook was clouded by softer wages.
The Bank of Japan is hopeful that a pickup in private consumption will help it achieve its 2 percent inflation target even as the intensifying U.S.-China trade war hurts exports and business sentiment.
Household spending rose 2.7 percent in June from a year earlier, nearly double the median forecast for a 1.4 percent gain, government data showed Tuesday.