Japanese economic growth came in as 1.5% QoQ versus 0.8% expected and 0.7% prior, per the preliminary readings of the second quarter (Q2) 2023 Gross Domestic Product (GDP) figures.

That said, the Annualized GDP rose to 6.0% versus 3.1% expected and 2.7% prior.

Further, GDP Deflator came in as 3.4% YoY, versus expectations of being unchanged at 2.0%.

Following the data release, Japanese government Official said, “Japan Private Consumption falls for first time in 3 quarters.”

The diplomat also added that Japan Q2 annualised real GDP growth for three straight quarters, fastest since Q4 2020. The Government Official also stated that the GDP Deflator posts fastest growth since Q1 1981.

About Japan GDP

The Gross Domestic Product released by the Cabinet Office shows the monetary value of all the goods, services and structures produced in Japan within a given period of time. GDP is a gross measure of market activity because it indicates the pace at which the Japanese economy is growing or decreasing. A high reading or a better than expected number is seen as positive for the JPY, while a low reading is negative.