Last time the Japanese government described industrial production as decreasing rapidly was in November 2008

Ross J Burland FXStreet

Following a slew of Japanese data today, a Japnese government official has stated that the last time the Japanese govt described industrial production as decreasing rapidly was in November 2008.

Key comments

Wide range of manufacturers cut production due to coronavirus impact.
Last time japan govt described industrial production as decreasing rapidly was in November 2008.
Auto production fell 33.3% MoM in April, largest m/m decline since comparable data became available in 2013.

Japan's factory output fell 9.1% in April, government data showed on Friday, compared with a median market forecast for a 5.1% drop. Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect output to shrink 4.1% in May and rise 3.9% in June, the data showed.

Key notes

Japan government cuts assessment of industrial production.
Japan government says industrial production is decreasing rapidly.
Japan industrial production in April sees the biggest drop since comparable data became available in 2013.

In other data, Japans Retail Sales (MoM) for Apr were -9.6% (est -6.9%, prev R -4.6%). However, Japan Retail Sales in April has seen the biggest YoY drop since March 1998.

Japan Retail Sales (Y/Y) Apr: -13.7% (est -11.2%, prev R -4.7%).

Market implications

These are compelling numbers for macro traders assessing the wider global economy with respect to an anticipated major downturn. USD/JPY is holding around 107.50 at the time of writing.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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