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Economics

Japan’s Smaller Economic Slip Points to Consumer Rebound

  • Upward revision in inventories and consumption helped economy
  • Analysts expect a modest return to growth in second quarter
Updated on

Japan’s economy contracted less than initially estimated at the beginning of this year, as revised figures showed consumer spending held up in the first quarter of the year even as the country suffered from its worst outbreak of the pandemic yet.

Gross domestic product shrank an annualized 0.5% in the three months through March, updated numbers from the Cabinet Office showed Wednesday. Consumption continued to grow in the quarter despite a raft of omicron-related restrictions on business operating hours during a large part of the period.