Japan’s economy up 3.5% in Q2, beats estimate

Japan’s economy grew an annualised 3.5% in Q2 from the previous period, beating initial estimate of a 2.9% expansion, according data released by the Cabinet Office. The Q2 growth showed that the country recovered the ground it lost during the pandemic and is on a firmer footing than was seen in the initial reading. Private consumption, which makes up more than half of the country's GDP, grew 1.2%, the data showed, revised up from an initial estimate of a 1.1% increase. Capital spending rose 2%, also up from a preliminary estimate of a 1.4% rise and more than a median market forecast for a 1.8% expansion. Analysts expect the recovery to continue in the current quarter.