BBC NEWS Americas Africa Europe Middle East South Asia Asia Pacific
BBCi NEWS   SPORT   WEATHER   WORLD SERVICE   A-Z INDEX     

BBC News World Edition
 You are in: Business  
News Front Page
Africa
Americas
Asia-Pacific
Europe
Middle East
South Asia
UK
Business
E-Commerce
Economy
Market Data
Entertainment
Science/Nature
Technology
Health
-------------
Talking Point
-------------
Country Profiles
In Depth
-------------
Programmes
-------------
BBC Sport
BBC Weather
SERVICES
-------------
EDITIONS
Monday, 29 July, 2002, 07:01 GMT 08:01 UK
Fresh concern over Japan economy
A yen information board in Tokyo
The yen has fluctuated wildly this year
Japan's industrial output fell for the first time in five months in June.

That has raised fresh concerns over the nation's ability to pull itself out of recession.

Surging exports to the US have been the main prop of Japan's economic recovery.

But the yen's surge against the dollar and uncertainty over the US economy has raised doubts over whether demand from America will continue to buoy Japan's exports.

Factory output in June was 0.7% lower than in May, the latest figures have revealed.

Slowing momentum

Japan's ministry of Economy of Trade and Industry has still forecast rising output for the next two months.

"The forecasts for July and August are positive, so the uptrend in production is not over," said Tomoko Fujii, an economist at Nikko Salomon Smith Barney.

"However, the steepest acceleration is over and the momentum is slowing," he said.

Despite weaker than expected June figures, the increase in industrial output for the April-June quarter is the biggest in 15 years.

That is largely due to an impressive 4.1% increase in May.

Depressed consumer demand in Japan means that the economy is heavily dependent on the strength of exports.


Key stories

Analysis
See also:

20 Jun 02 | Business
22 May 02 | Business
29 Jul 02 | Business
Internet links:


The BBC is not responsible for the content of external internet sites

Links to more Business stories are at the foot of the page.


E-mail this story to a friend

Links to more Business stories

© BBC ^^ Back to top

News Front Page | Africa | Americas | Asia-Pacific | Europe | Middle East |
South Asia | UK | Business | Entertainment | Science/Nature |
Technology | Health | Talking Point | Country Profiles | In Depth |
Programmes