Japan Q4 GDP drops 0.6% on quarter
2012-02-13 12:40:04
Japan's gross domestic product declined an annualized 0.6 percent in the fourth quarter of 2011 compared to the previous three months, the Cabinet Office said on Monday in a preliminary report - turning back into the red one quarter after the country had ended the recession that followed the devastating 9.0 magnitude earthquake and tsunami last March.
The headline figure missed forecasts for a contraction of 0.3 percent following the upwardly revised 1.7 percent increase in the third quarter.
On a yearly basis, GDP plummeted 2.3 percent - again well shy of forecasts for a decline of 1.3 percent after spiking an upwardly revised 7.0 percent in the previous three months.
Nominal GDP also missed forecasts by falling 0.8 percent on quarter versus expectations for a decline of 0.7 percent following the upwardly revised 1.5 percent jump in the third quarter.
The GDP deflator actually beat expectations with an annual contraction of 1.6 percent versus forecasts for a fall of 1.7 percent after shedding an upwardly revised 2.1 percent three months earlier.
Net exports contributed -0.6 percentage points to GDP growth, marking a negative reading for the fifth time in six quarters. Private consumption added 0.3 percent, rising for the second straight quarter.
Corporate capital spending rose 1.9 percent after collecting 1.1 percent in the previous three months.
For all of 2011, GDP was down 0.9 percent on year following the 4.4 percent increase in 2010. GDP fell 5.5 percent in 2009 and 1.0 percent in 2008.
Nominal GDP dropped 2.8 percent in 2011.
Also on Monday, the Ministry of Economy, Trade and Industry said that an index measuring activity in Japan's tertiary industries was up a seasonally adjusted 1.4 percent on month in December, standing at 99.7. That was well above forecasts for an increase of 0.7 percent following the 0.8 percent contraction in November.
Industries that were higher included wholesale and retail trade, real estate, accommodations, technical services, health care and utilities. Industries that moved lower were communications, learning support and compound services.