Economy

Japan's economy bounced back ahead of the Olympics, data shows – BBC News

Published

3 years ago

August 16, 2021

Harry Miller

People take selfie with Olympics rings on July 27, 2021 in Tokyo, Japan.

Japan rebounded faster than expected from its pandemic-driven slump in the run-up to the Tokyo Olympics.

Official figures show the world’s third-largest economy grew at twice the rate forecast in April to June.

But analysts have warned growth will be modest this quarter after a state of emergency was reimposed to ease a spike in Covid-19 infections.

Meanwhile, new data also shows that the economic recovery of its larger neighbour, China, is losing steam.

Preliminary data show Japan’s gross domestic product (GDP) grew by an annualised 1.3% in the second quarter of the year. That came after a 3.7% slump in the previous three months.

The latest figures were far better than the expected gain of 0.7% and came as spending by individuals and businesses bounced back from the initial impact of the coronavirus.

However, Japan’s recovery remains much slower than has been seen in other advanced economies like the US, which recorded a 6.5% jump in GDP for the second quarter of the year.

Japan’s relatively weak rebound highlights how the government has struggled to contain the pandemic.

“I have very mixed feelings about this GDP result,” Economy Minister Yasutoshi Nishimura said after the data was released.

“Our priority is to prevent the spread of the virus. It’s very bad for the economy for this situation to drag on,” he added.

In 2020, Japan’s economy shrank by more than 4.8% over the year, its first contraction in more than a decade.

The country’s economy emerged from last year’s initial blow from the pandemic thanks to robust exports, although the slow rollout of its vaccination programme and a series of state of emergency measures have hurt consumption.

At the same time a spike in cases of the Delta variant in other parts of Asia has further disrupted supply chains for some Japanese manufacturers. This could hurt factory output and threaten the already fragile recovery.

In Tokyo, Japan’s benchmark Nikkei share index closed 1.6% lower on Monday, its third session of losses in a row.

Meanwhile, in China factory output and retail sales both rose more slowly than expected last month, compared to a year ago.

It is the latest sign that the recovery of the world’s second-largest economy is losing steam as export growth cools and new Covid-19 outbreaks disrupt business.

S&P/TSX composite gains almost 100 points, U.S. stock markets also higher

Published

3 days ago

September 13, 2024

Anne Joseph

TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.

The S&P/TSX composite index closed up 93.51 points at 23,568.65.

In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.

The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.

The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.

The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.

This report by The Canadian Press was first published Sept. 13, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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Economy

Statistics Canada reports wholesale sales higher in July

Published

3 days ago

September 13, 2024

Anne Joseph

OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.

The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.

The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.

The personal and household goods subsector fell 2.5 per cent to $12.1 billion.

In volume terms, overall wholesale sales rose 0.5 per cent in July.

Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.

This report by The Canadian Press was first published Sept. 13, 2024.

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Economy

S&P/TSX composite up more than 150 points, U.S. stock markets mixed

Published

4 days ago

September 12, 2024

Anne Joseph

TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 172.18 points at 23,383.35.

In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.

The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.

The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.

The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.

This report by The Canadian Press was first published Sept. 12, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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