Japan Production Decline Undercuts Signs of Recovery: Economy

Japan’s industrial production unexpectedly dropped in February, undercutting signs of an economic rebound in the first quarter as policy makers assess whether to apply further stimulus.

Factory output slid 1.2 percent from the previous month, the Trade Ministry said in Tokyo today, after a 1.9 percent gain in January. The median estimate in a Bloomberg News survey was for a 1.3 percent increase. The unemployment rate fell to 4.5 percent and consumer prices excluding fresh food unexpectedly rose 0.1 percent, government reports showed.