Japanese Industrial Output Drops But Optimism Remains

Japan’s industrial output slid 0.7 percent in August after a hefty gain the previous month, but company production forecasts indicate that factory output and the broader economy are still on track to steady recovery.

A separate survey showed manufacturing activity expanded in September at the fastest pace since the March 2011 earthquake, highlighting the strength of an economy backed by rising exports and firm domestic demand.

Other data out on Monday also signalled consumer spending gaining momentum. Retail sales rose 1.1 percent in August from a year earlier and housing starts rose 8.8 percent, up for 12 months in a row, although housing starts were below the 12.7 percent gain seen in a Reuters poll.

via Reuters

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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