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Surprise Drop in Japan Factory Output Adds to Warning Signs
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Surprise Drop in Japan Factory Output Adds to Warning Signs
The reading on the world’s third-largest economy comes a day after South Korea, a bellwether for world trade and technology, surprised markets in reporting its biggest contraction of GDP in a decade, signaling that the worst of the global slowdown may not have passed. Japan needs to see a healthy recovery in exports and industrial output ahead of a long-delayed sales-tax increase set for October. Japan’s factory output slid 0.9 percent in March from a month earlier, compared with the median estimate of economists of no change, according to data from the trade and industry ministry Friday.
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