Japan posts impressive Q2 GDP figures

With both consumer spending and capital expenditure rising at a rapid rate, Japan’s economy has posted an impressive increase in the second quarter in more than two years. As per government data, the country’s gross domestic product expanded an annualised 4% in April-June, more than the median estimate for 2.5% annualised growth and the highest increase since January-March 2015.
 
Compared to the previous quarter, the economy expanded 1%, versus the median estimate for 0.6% growth. The economy grew for six straight quarters in April-June. The last time the economy had a run of six consecutive quarters of growth was January-March 2005 through April-June 2006.
 
 
Meanwhile, there is hope that economic growth in Japan will continue due to rising domestic demand and increase in consumer spending. Private consumption, which accounts for about two-thirds of Japan’s GDP, increased 0.9% from the previous quarter, more than the median estimate of 0.5% growth. Capital expenditure boosted by 2.4% in April-June from the previous quarter, as against the median estimate for a 1.2% increase.