Japan Q3 GDP Falls 0.9% On Quarter
2012-11-12 12:43:16
Japan's gross domestic product contracted 0.9 percent in the third quarter of 2012 compared to the previous three quarters, the Cabinet Office said in Monday's preliminary reading - dipping into the red for the first time in five quarters.
The headline figure was in line with forecasts following the 0.2 percent increase in the second quarter.
Nominal GDP also was down 0.9 percent on quarter, matching forecasts after dipping 0.3 percent in Q2.
On a yearly basis, GQP dropped 3.5 percent - slightly worse than expectations for a contraction of 3.4 percent following the 3.7 percent increase three months prior.
The GDP deflator shed 0.7 percent on year, in line with forecasts following the 0.9 percent contraction in the second quarter.
External demand accounted for 0.7 percentage points in Q3, matching forecasts, while private consumption - which accounts for roughly 60 percent of the economy - was down 0.5 percent versus a forecast for a 0.6 percent drop.
Also on Monday: • The Bank of Japan said that an index measuring the prices of domestic corporate goods in Japan was down 0.3 percent on month in October, standing at 100.1. That was below expectations for a fall of 0.2 percent following the downwardly revised 0.2 percent increase in September (originally at 0.3 percent). Prices for exports were down 0.1 percent on month, while import prices slid 0.6 percent on month.
On a yearly basis, the index shed 1.0 percent - also shy of expectations for a slide of 0.8 percent following the downwardly revised 1.5 percent decline in the previous month (originally -1.4 percent).
• The Ministry of Economy, Trade and Industry said that an index measuring tertiary industrial activity in Japan added a seasonally adjusted 0.3 percent on month in September, coming in at 99.4. That topped forecasts for a decline of 0.1 percent following the 0.4 percent increase in August.
Among the individual components, activity was up industries for finance, health care, communications, real estate and transportation. Falling lower were retail trade, scientific research and utilities.