Japanese Economy Monthly Forecast (February 2020)

Data updates
▶ Most major economic indicators deteriorated in January, including residential construction, capital goods shipments, private capital investment, exports, imports, and large retailers’ sales. Inventories piled up as industrial production increased slightly. The recovery in production, however, has been slow since the consumption tax hike last October.

2020 Q1 Forecasts
▶ Our forecast for 2020 Q1 real GDP growth is an annualized -0.3% QoQ.
▶ We forecast an overall GDP deflator of -0.0% QoQ in 2020 Q1.