Japan's household spending to slump in February as virus hits demand: Reuters poll [Reuters]
Sumitomo Mitsui Financial Group Inc Unsponsored American Depositary Shares (Japan) (SMFG)
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Source: Reuters
Japan's household spending to slump in February as virus hits demand: Reuters poll TOKYO (Reuters) - Japan’s household spending likely fell for the fifth straight month in February, a Reuters poll showed on Friday, adding to growing signs of the pain the coronavirus pandemic is inflicting on an economy already on the cusp of recession. Machinery orders, a leading indicator of capital expenditure, are also expected to have slumped in February, suggesting the world’s third-largest economy is losing support from domestic demand before exports recover from the hit from last year’s U.S.-China trade war. Household spending is expected to have fallen 3.9% in February from a year earlier, a Reuters poll showed, matching January’s decline as unusually warm weather hurt demand for winter clothing. The impact from the coronavirus added to woes for consumption, which continued to suffer the fallout from a sales tax hike rolled out in October, analysts say. “Food demand grew somewhat, but spending
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