Japan February Consumer Spending Bounces – Stimulus, Tax Still in Focus

Japan’s consumer spending in February rose for the first time in six months, official data showed on Tuesday, but the rise was partly because of the extra Leap Year day and did little to reduce pressure on the government to inject more economic stimulus.

The propensity to consume – a measure of households’ willingness to spend rather than save – rose 3.9 points in February, the biggest gain in nine months.

Spending also rose because consumers bought mobile phone plans before government regulations stopped carriers from subsidising the entire cost of handsets, economists said

Reuters

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Craig Erlam
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the BBC and The Telegraph, and he also appears regularly as a guest commentator on Bloomberg TV, CNBC, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.