28 Apr 2015
Japan risks a below consensus Q1 GDP print – BBH
FXStreet (Barcelona) - The Brown Brothers Harriman Team notes that the soft Japanese data indicates that Q1 GDP might print a sub-2% print.
Key Quotes
“March completes the 12-month period following the sales tax increase. Retail sales have fallen 13.0% over the past year. The 1.9% decline in March (consensus was for a 0.6% increase) follows a 0.7% rise in February after a 1.9% decline in January. The weakness in consumption in Q1 warns of softer overall growth. The consensus is for 2.2% growth in Q1 GDP. We see the risks for a sub-2% number when it is reported on May 19.”
Key Quotes
“March completes the 12-month period following the sales tax increase. Retail sales have fallen 13.0% over the past year. The 1.9% decline in March (consensus was for a 0.6% increase) follows a 0.7% rise in February after a 1.9% decline in January. The weakness in consumption in Q1 warns of softer overall growth. The consensus is for 2.2% growth in Q1 GDP. We see the risks for a sub-2% number when it is reported on May 19.”