Iran Threatens Gulf Energy Assets as U.S. Tensions Escalate 
China to Inject $45 Billion Into State Financial Institutions 
China Expands Influence in Global Gold Market 
US Stock Futures Mixed as Fed Rate Hike Bets Rise 
Iran Plans New Gulf Restricted Zone as Hormuz Tensions Push Oil Higher 
European Stocks Flat as Iran Tensions, ECB Rate Hike Loom 
OPEC+ Expected to Hold October Oil Output Steady 
Japan, U.S. Stay Aligned on Yen as Currency Surges 
Asian Stocks Mixed as Korean Chipmakers Rally 
ECB Set for September Rate Hike as Energy Prices Fuel Inflation 
Hungary Industrial Output Beats Forecasts With 4.7% July Growth 
Asian Stocks Rally as AI Optimism Fuels Chipmaker Surge 
Gold Holds Near $4,400 as Fed Hike Bets Rise 
Asian Currencies Mixed as Yen Rallies on BOJ Bets 
Uranium Prices Could Top $100 as Nuclear Demand Grows 
Add as a preferred source on Google
Japan’s economy expanded faster than previously estimated in the second quarter, signaling that the recovery maintained momentum despite subdued household spending and weaker business investment.
Gross domestic product grew at an annualized rate of 1.4% in the April-June quarter, according to Cabinet Office data released Tuesday. The revised figure exceeded economists’ forecast of 1.1% and was upgraded from the initial estimate of 1.1%. However, growth moderated from the 1.8% expansion recorded in the first quarter.
On a quarter-on-quarter basis, Japan’s GDP increased 0.4%, topping expectations for 0.3% growth. The economy had expanded 0.5% in the previous three months.
External demand was a major contributor to the stronger Japan GDP reading, rising 0.5% from the previous quarter. That marked an acceleration from the 0.3% increase recorded during the first quarter.
Domestic conditions remained less robust. Private consumption was unchanged during the quarter, matching forecasts but slowing from a 0.3% increase previously. The figures suggest Japanese households remained cautious about spending even as wage conditions improved.
Capital expenditure declined 0.9%, although the drop was smaller than the 1.2% contraction economists had anticipated, highlighting continued weakness in corporate investment.
There were more encouraging signs for consumers in separate wage data. Japan’s real wages climbed 2.4% year-on-year in July, marking their strongest increase since May 2021. Rising inflation-adjusted earnings could provide additional support for household purchasing power and future consumption.
The stronger-than-expected economic data could reinforce expectations that the Bank of Japan will tighten monetary policy further. Investors are increasingly considering the possibility of a 25-basis-point BOJ interest rate hike later this month.
The Japanese yen has strengthened alongside those expectations, recently reaching a seven-month high against the U.S. dollar. USD/JPY was down about 0.6% at 153.38 by 04:07 GMT, reflecting growing market bets on tighter BOJ policy as Japan’s economic recovery continues.
