Japan’s economy contracted by an annualized rate of 1.3 percent in the second quarter providing further evidence that the country continues to make progress after the earthquake and tsunami earlier this year. Estimates were actually in the range of a decline of 2.6 percent.
“The scenario that Japan’s economy will get on a recovery track later this year has not changed,” said Yoshikiyo Shimamine of Dai-Ichi Life Research Institute.
Despite the optimism, concerns remain that a strengthening yen could hamper export sales and in recent weeks, the central bank has made efforts to halt the yen’s appreciation\.
Source: BBC News