Japan Govt Leaves Basic Economic Assessment Unchanged in Nov.

Tokyo, Nov. 26 (Jiji Press)–The Japanese government left its basic view on the domestic economy unchanged for the second consecutive month, in a monthly report released Wednesday. In its report for November, the Cabinet Office said, “The Japanese economy is recovering at a moderate pace, while the effects caused from the U.S. trade policies are seen mainly in the automotive industry.” Looking ahead, the government warned that the effects of continued price increases on private consumption are downside risks to the economy. It vowed to swiftly implement a 21.3-trillion-yen comprehensive economic package adopted at a cabinet meeting on Friday. After concerns that such a large economic package could deteriorate the government’s fiscal condition caused the yen to fall and government bond yields to rise last week, the government said it will continue to carefully monitor financial markets. Regarding imports, the government made a downward revision for the first time in nine months, saying they are “almost flat,” compared with “on a recovery trend” in the October report. “Imports from Asian countries were weaker,” a Cabinet Office official said in a press briefing, referring to a pause in the growth of imports of smartphones and clothes. On corporate goods prices, the government left its assessment intact but changed its phrasing, saying that the prices “are growing moderately recently.” The previous month, the government said that they were flat. The official said that the change reflects price hikes for items including newly harvested rice. Meanwhile, the official cited some recovery in consumer sentiment. END [Copyright The Jiji Press, Ltd.]