Japan’s Industrial Production Unexpectedly Declines in August

Japan’s industrial output in August declined a seasonally adjusted 0.5 percent on a monthly basis, a government data showed on Wednesday. Analysts say the central bank won’t be able to stay its hand for too much longer. That marked a fifth straight month of gains but slowed from a 1.8 percent growth in July.

Sales from large retailers jumped an annual 1.8 percent – beating forecasts for an increase of 1.3 percent following the 2.1 percent spike in the previous month. “ABENOMICS” UNDER FIRE The weak indicators have rekindled doubts about Prime Minister Shinzo Abe’s “Abenomics” strategy of reviving growth through fiscal expansion, monetary stimulus and structural reforms.

Abe last week unveiled a new economic growth target and and vowed to halt Japan’s population slide, as he seeks to claw back support after the passage of unpopular defense bills. 7, while that of inventories was up 0.4 percent to 114.1. These included general-purpose machinery, cars and China-bound auto parts. He said any weakness in the central bank’s Tankan survey – a measure of business confidence and intentions due Thursday – would increase pressure for the BOJ to adjust policy at an October 30 board meeting. Kuwahara said Nomura now has to consider the possibility of recession.