Japan's GDP seen expanding for 6th straight quarter – Reuters Poll

According to the latest Reuters poll, Japan's economy is expected to expand for a sixth straight quarter in April-June. The upbeat growth momentum seen in the Japanese economy is mainly on the back of stronger domestic demand.

Key Findings from the survey:

Reuters survey 20 analysts

“Gross domestic product (GDP) was seen expanding at an annualized rate of 2.5% in the second quarter, a rate last posted in January-March 2016, while the last six straight quarter run of growth was January-March 2005 through April-June 2006.

The anticipated 2.5 percent expansion would translate to 0.6 percent on quarter-on-quarter growth after a revised 0.3 percent rise in the first quarter this year.

Private consumption, which accounts for roughly 60 percent of GDP, likely grew 0.5 percent in the second quarter, after a 0.3 percent gain in the January-March period.

External demand - or exports minus imports - was thought likely to shave 0.3 percentage point off growth.

Capital spending was expected to show a rise of 1.2 percent in the second quarter after increasing 0.6 percent the previous quarter.”