Japanese Gross Domestic Product (GDP) for the third quarter (Q3) came in at -0.7% QoQ versus -0.5% expected and -0.5% prior, the Cabinet Office showed on Friday.

Furthermore, the Annualized GDP contracted 2.9% versus the 2.1% drop expected and 2.1% contraction prior.

Market reaction

Following the Japanese growth numbers, the USD/JPY pair is up 0.39% on the day to trade at 144.29

About Japan’s Gross Domestic Product (GDP)

The Gross Domestic Product (GDP), released by Japan’s Cabinet Office on a quarterly basis, is a measure of the total value of all goods and services produced in Japan during a given period. The GDP is considered as the main measure of Japan’s economic activity. The QoQ reading compares economic activity in the reference quarter to the previous quarter. Generally, a high reading is seen as bullish for the Japanese Yen (JPY), while a low reading is seen as bearish.