Japanese capital spending unchanged on year in Q2 vs -3.9% in Q1 and consensus of -2%.1. On quarter, capex +2.9%.
Corporate current profits +24%, corporate sales -0.5%.
JPMorgan and UBS say Q2 GDP may be revised up from a preliminary reading of +2.6% following the capex data, which could make the government more inclined to go through with proposed increases in sales tax. A decision is expected early next month.
Nikkei +1.4%, USD-JPY +1.2% to ¥99.32. (PR)