Free Newsletters - Space - Defense - Environment - Energy - Solar - Nuclear
..
. Earth Science News .




POLITICAL ECONOMY
Japan factory output tumbles ahead of BoJ meeting
by Staff Writers
Tokyo (AFP) Oct 30, 2012


A factory worker checks Toyota Prius vehicle on a production line in Japan. Japan's industrial production fell and unemployment rose in October, data showed Tuesday, underlining fears over a fragile recovery that continues to lose steam. (AFP/File/Toshifumi Kitamura)

Japan's factory output fell 4.1 percent last month, official data showed on Tuesday ahead of a central bank meeting expected to usher in more easing measures to stimulate the lumbering economy.

The September month-on-month decline in industrial production was significantly worse than the 3.1 percent fall expected by the market, with a slump in production of cars, auto parts and machinery helping to dent output.

The poor outcome for the world's third-largest economy underscored slowing demand for Japanese exports and the impact of a diplomatic tussle with China which has hit the Asian giants' trade ties.

"Industrial production is on a downward trend," the ministry said in a brief statement.

The comment was stronger than the previous month when the ministry said output "appeared to be weakening", as production fell by a revised 1.6 percent in August.

The figures emerged as the Bank of Japan (BoJ), under siege from politicians clamouring for urgent action on the slowing economy, holds a policy meeting later in the day that is expected to generate further easing measures.

With ultra-low interest rates already in place, the central bank may tinker with its main policy tool -- an 80 trillion yen ($1.0 trillion) asset-purchase programme.

Last month, the BoJ unveiled plans to expand the fund by 10 trillion yen after pressure following similar moves by its European and US counterparts.

Japan's economy minister Seiji Maehara weighed into the issue again on Tuesday, calling on the central bank to usher in "powerful easing" to boost the economy and fight the deflation that has plagued Japan for years.

But earlier expansions of the programme appear to have done little to kick-start Japan's economy, which was hammered by last year's quake-tsunami disaster and is also suffering from Europe's debt crisis, slowing Chinese demand and the strong yen.

BoJ policy action "cannot cure the problem at its source, which is a lack of demand for Japanese exports," Chris Tedder, analyst at Forex.com in Sydney, said in a note.

The Japanese currency hit record highs around 75 on the dollar late last year and remains strong, making exporters' products more expensive overseas while shrinking the value of their repatriated foreign income.

The problem is particularly acute for major export brands such as Japan's automakers. Honda Motor said on Monday that the yen's strength would dig into its full-year profit, now expected to be about 20 percent lower than previously forecast.

Separate figures released on Tuesday showed that while quake reconstruction spending helped keep Japan's jobless rate steady at 4.2 percent in September, household spending slipped 0.9 percent on-year, a sign of weakening consumer confidence.

A manufacturers' survey released on Tuesday with the production data forecast a 1.5 percent decline in October's factory output before rising 1.6 percent in November.

But Hideki Matsumura, senior economist at the Japan Research Institute, cast doubt on the likelihood of a late-year turnaround.

"Trends show that figures will tend to fall below expectations," he told Dow Jones Newswires.

Japan recently posted its worst September trade figures in more than 30 years, as the territorial dispute with Beijing over an island chain in the East China Sea hurt exports amid a global slowdown.

The long-standing dispute over the archipelago, called the Senkakus in Japan and Diaoyu islands in China, erupted anew after Japan nationalised the chain in mid-September.

Japanese factories and businesses across China closed or scaled back operations in September over fears they or their workers could be targeted by mobs protesting against Tokyo's move.

The spat has led to thousands of flights being cancelled between the nations, while Japan's top three automakers -- Toyota, Nissan and Honda -- said their sales plunged last month in China, the world's biggest vehicle market.

.


Related Links
The Economy






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News





POLITICAL ECONOMY
US expects to release jobless data Friday as planned
Washington (AFP) Oct 29, 2012
The US Labor Department said Tuesday it expects to release its most recent unemployment data - a key marker of the economy ahead of the November 6 election - on schedule despite Hurricane Sandy. "The employees at the Bureau of Labor Statistics are working hard to ensure the timely release of employment data on Friday, November 2," spokesman Carl Fillichio told AFP. "It is our intention ... read more


POLITICAL ECONOMY
Storm leaves billions in damage across eastern US

Atlantic City bar faces hurricane with a drink

Obama races back to White House as hurricane threatens

Asia's mega-cities badly exposed to superstorms

POLITICAL ECONOMY
Russian chemists land on the island of stability

Head of iPhone software out in Apple shakeup

Safety glass - cut to any shape

Cost-effective titanium forming

POLITICAL ECONOMY
Century-long trend of global ocean warming identified

Global precipitation variability decreased from 1940 to 2009

La Nina Caused Global Sea Level Drop

Uncertainty of future South Pacific Island rainfall explained

POLITICAL ECONOMY
Polar bears seen taking refuge on icebergs

Biologists record increasing amounts of plastic litter in the Arctic deep sea

Opposite Behaviors? Arctic Sea Ice Shrinks, Antarctic Grows

Italian snow levels, glaciers retreating

POLITICAL ECONOMY
Greater effort needed to move local, fresh foods beyond 'privileged' consumers

Minimizing Mining Damage with Manure

Gaps in border controls are related to alien insect invasions in Europe

Black rice and tea in Italy as China shows its green side

POLITICAL ECONOMY
Earthquake shakes buildings in Philippine capital

Storm-battered US battles floods, power cuts

Sandy leaves death, darkness and destruction

Deadly storm floods and blacks out Manhattan

POLITICAL ECONOMY
Senegal foreign, interior ministers lose jobs in reshuffle

G.Bissau's alleged coup mastermind to face military court

Rwanda ex-army chief's refugee status questioned in S.Africa

Making transport a driver for development in Africa

POLITICAL ECONOMY
Genetics suggest global human expansion

'Digital eternity' beckons as death goes high-tech

Primates' brains make visual maps using triangular grids

Lucy and Selam's species climbed trees




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement