Japanese Consumer Confidence Drops in August

Japanese consumer confidence worsened for the first time in four months in August, an official survey suggests.

According to the Cabinet Office, the consumer sentiment index was 41.2 in August, down from 41.5 in July.

An index reading of 50 indicates there are equal numbers of optimists and pessimists.

The survey, which includes views on incomes and jobs, comes just a day after data showing Japan’s economy shrank 1.8% between April and June.

The worse-than-expected fall in GDP was blamed in part on a rise in the nation’s consumer sales tax introduced in April to 8% from 5%.

Another rise is planned for 2015.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza