Seeking Alpha

Surprise: Japan Q1 GDP revised sharply higher

  • Saying capital spending rose 34.2% vs. a first guess of 21%, the Japanese government ups Q1 GDP growth to 6.7% from the initial 5.9% estimate. Economists had forecast a downward revision to just 5.5%.
  • Also boosting the economy in Q1, of course, was a surge in consumption ahead of an increase in the sales tax in April, and economists are forecasting GDP to contract about 4% in Q2.
  • The Nikkei is higher by 0.8% in early Monday morning action, and the yen is steady at ¥102.57.
  • ETFs: DXJ, EWJ, FXY, YCS, DFJ, JYN, NKY, DBJP, EZJ, EWV, YCL, SCJ, JPNL, DXJS, JSC, ITF, JPP, JPNS, HEWJ, FJP, DXJR, DXJT, DXJH, DXJC, DXJF
From other sites
Comments (9)
  • SharkDude
    , contributor
    Comments (713) | Send Message
     
    BS. All these numbers are phony. Central banks printing tons of money. Lying about inflation. Then completely making up these numbers.
    8 Jun 2014, 08:52 PM Reply Like
  • WisPokerGuy
    , contributor
    Comments (1057) | Send Message
     
    If you have proof that the Bank of Japan (not exactly a fly-by-night institution) is "making these numbers up" I'd suggest you contact the Wall Street Journal. Cause you have a scoop!!! Otherwise, the markets will take care of themselves --- as they always do. In the meantime, I'd suggest you go to a 100% cash position and start stuffing your mattress. And when you have some better gauge of Japanese economic strength, feel free to get in touch.
    8 Jun 2014, 11:43 PM Reply Like
  • SharkDude
    , contributor
    Comments (713) | Send Message
     
    See. Great GDP number and the yen weakens. Shows how the mkt believes the numbers.
    8 Jun 2014, 08:59 PM Reply Like
  • SharkDude
    , contributor
    Comments (713) | Send Message
     
    I forget is this week the US's turn to weaken their currency or is it still Europe's turn? When is it Japan's turn again?
    8 Jun 2014, 09:45 PM Reply Like
  • minecanary
    , contributor
    Comments (692) | Send Message
     
    C'mon Shark, Anyone who can pretend to be solvent when they are a quadrillion yen in the hole deserves at least a little credit.
    8 Jun 2014, 10:08 PM Reply Like
  • John Georgiou
    , contributor
    Comments (234) | Send Message
     
    Very good news for JAPAN.
    As i say from many days now best bet is jpy/euro

     

    have a look to http://bit.ly/TOSvxj.

     

    About solvent or not , or JAPAN central bank ..... i can't see the point. They are trying hard to have growth after decades of weakness! They have huge industrial base they can make it!
    9 Jun 2014, 12:52 AM Reply Like
  • pollyserial
    , contributor
    Comments (1096) | Send Message
     
    John, what they are trying to do is ignore past mistakes. They invented QE, it didn't work in the 90's and, today's silly print notwithstanding, it really doesn't seem to be working now. There is a reasonable possibility that QE in fact (counter-intuitively) creates deflation. Makes sense to me.

     

    http://bit.ly/SquDyx
    9 Jun 2014, 01:26 AM Reply Like
  • Patent News
    , contributor
    Comments (1424) | Send Message
     
    good if you claim QE 'did not work' how much did you make shorting the markets over the past few years??
    9 Jun 2014, 02:42 AM Reply Like
  • John Georgiou
    , contributor
    Comments (234) | Send Message
     
    @pollyserial

     

    We can be sure only if JAPAN CB didnt QE! I believe that Japan would faced now something like south europe today!

     

    Deflation or inflation or real economy growth has to do with GOVERMENT economy policy! I believe tha central banks have less power of what people thinks and they ALWAYS synchronise with GOV economy policy. Have a look to an article about FED & GOV police to my blog that mentioned before and you will get my point of view.
    9 Jun 2014, 03:15 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs