Japão GDP Growth Annualized

The Japanese economy grew by 3.1% on an annualized basis in Q2 of 2024, exceeding market consensus of 2.1% while shifting from a 2.3% contraction in Q1, a preliminary figure showed. It was the strongest yearly expansion since Q2 of 2023, mainly supported by a strong rebound in private consumption after spring wage negotiations saw an average pay raise of 5.17% in the country, the highest in more than three decades. Moreover, there was a bounce back in business spending, helped by the ongoing recovery in the automotive industry following some scandals involving big automakers. In the meantime, government spending was sluggish while net trade contributed negatively for the second consecutive quarter.