Abenomics/Akpnomics working in Japan. Q1 Annualized growth of 6.7% in GDP.

[akphidelt]

Wow, despite a sales tax increase, massive stimulus, deficits, etc... Japan is on pace to grow 6.7% in 2014. According to conservatives this has to be impossible? While austerity practices in the United States has brought us down to -2.9% in Q1 2014... no shock to me. Been calling for a 2014 recession for a while. Austerity just doesn't work.

Japan will be a model for developed countries for years to come. They have learned that conservative degenerate policies do not work and you need to focus on economic growth, not worry about debt to GDP rations or how big your deficits are. The EU is giving up on austerity, Japan is proving stimulative effects work and growing their economy, the United States is worrying about contraception and stupid shit still while the economy continues to suck.

Amazing that Republicans are willing to destroy the economy just so Obama doesn't grow it. Sick sick people.

TOKYO (Reuters) - Japan's first quarter growth handily beat initial estimates on an unexpected surge in capital spending, fresh signs the world's third-biggest economy is in better shape to weather a hit to consumption from a sales tax hike.

Capital spending, long a weak link in the economy, is a key focus in Tokyo's campaign to engineer a revival after two decades of sub-par growth and grinding deflation.


"Companies don't tend to ramp up spending ahead of the sales tax hike, so the increase likely reflects improvements in corporate profits and diminishing slack," said Mitsumaru Kumagai, chief economist at Daiwa Institute of Research.


Japan's economy grew an annualized 6.7 percent in the first quarter, data showed on Monday, up sharply from an initial reading of a 5.9 percent rise, and confirmed the fastest pace of growth since July-September 2011. The data beat the median market forecast for GDP to rise 5.6 percent.


The upward revision was largely due to a recalculation in capital expenditure that took into account finance ministry data showing a solid increase in spending.


Adding to the optimism, current account data showed foreign visitors spent more money than Japanese traveling abroad for the first time in 44 years, boding well for Japanese companies in the retail and tourism industry.


In other encouraging news, Japanese consumer confidence rose for the first time in six months in May, further underscoring recent signs that the economic pain from the sales tax hike would be temporary. The service-sector sentiment index also edged up.


The tax, which was raised to 8 percent from 5 percent on April 1 to fix Japan's tattered finances, has caused distortions in data and raised worries about the outlook.


Monday's positive figures, however, back the Bank of Japan's view the economy will recover moderately led by domestic demand, with growing evidence of an uptick in business investment a particularly pleasing result for policy makers.
In comments to Parliament, BOJ Deputy Governor Kikuo Iwata sounded suitably upbeat, saying that he expects Japan's exports to turn up as advanced nations recover
.

"The Japanese economy will continue growth above its potential rate as a trend as exports turn up and domestic demand remains firm," Iwata told parliament, adding that the economy is on a steady track to meet the BOJ's 2 percent inflation target.

​

Read more: http://www.businessinsider.com/r-ja...expected-surge-in-capex-2014-09#ixzz36EzybVzs
​

 

[akphidelt]

My homie Abe just delivering success on a silver platter...

I wonder who ever imagined this would work? Surprising when you focus on economic growth and jobs, rather than destroying jobs by the 100s of thousands. Thanks Repubs! We appreciate all you do to destroy this fine country!

 

[festeringZit]

AK,

Are you still going to claim you're not a flaming leftist? I love how you came in here for months and pretended you were some non-partisan moderate.

Are you going to admit you lied your ass off?

 

[Carminethewop]

Shut up up ya Fucking alky

 

[SheriffJoe]

Abenomics Suffers Crippling Blow: Economy Sputters As Inflation Soars, BOJ QE Delayed Indefinitely



Submitted by Tyler Durden on 05/29/2014 22:28 -0400

Following last night's record plunge in Japanese retail sales, tonight was another slew of crushingly bad data for Abe and his motley crew of money printers to reflect on. First Household Spending cratered 4.6% YoY - its biggest drop since the Tsunami (and markedly worse than expectations which were bad enough due to the tax hike repurcussions). Then, Industrial Production tumbled 2.5% MoM - its biggest drop since the Tsunami (considerably worse than the 2.0% drop expected and the slowest YoY growth in 8 months). While this would typically be the kind of bad news that is great news for QQE-hopers, it was disastrously capped by a surge in Japanese CPI (well above BoJ target 2% levels) crushing moar-easing hopes asBarclays see no further easing in 2014 (and even Goldman pushes any hope off til October at the earliest).

First Houshold spending missed and plunged...



Then Industrial Production missed and plunged...


And then inflation took off - as Goldman so handily exposes below, adjusted for the tax-hike, this was a major spike in inflation...


We accordingly revise our outlook for the BOJ’s next easing action to October 2014, from July 2014 previously.
and then Barclays gets even more bearish...

• BARCLAYS SEES NO FURTHER BOJ EASING IN 2014 IN 'BASELINE' VIEW

Goldman sounds glum, having already given up on the J-Curve...

We get the impression the correction is larger than the government anticipated, but in line with our expectations. With domestic demand likely to fall, we see external demand leading growth in FY3/15. We highlight risk factors in the form of protracted weakness in China and other Asian economies and a decline in corporate Japan’s structural export capacity.

​

Time to stock up on Depends...Time to blame El Nino again

The reaction so far...

 

[SheriffJoe]

frafraud's bubblenomics strikes again.

 

[SheriffJoe]

AK,

Are you still going to claim you're not a flaming leftist? I love how you came in here for months and pretended you were some non-partisan moderate.

Are you going to admit you lied your ass off?

Big Government is great and altruistic...freedom sucks...Obama's the epitome of perfection...blah, blah, blah...

*yawn*

 

[akphidelt]

AK,

Are you still going to claim you're not a flaming leftist? I love how you came in here for months and pretended you were some non-partisan moderate.

Are you going to admit you lied your ass off?

I'm not a leftist at all. But when Republicans make decisions that completely are counter-intuitive to economic growth, I'm going to blame them. If Democrats were destroying public sector jobs and preventing the government from saving jobs, I would blame them also. I focus on policies, I don't care as much about politics as you do. You probably still think Reagan was a fiscal conservative. After studying Reagan for years, he is one of my favorite examples of how big government works.

 

[festeringZit]

Following last night's record plunge in Japanese retail sales, tonight was another slew of crushingly bad data for Abe and his motley crew of money printers to reflect on. First Household Spending cratered 4.6% YoY - its biggest drop since the Tsunami (and markedly worse than expectations which were bad enough due to the tax hike repurcussions). Then, Industrial Production tumbled 2.5% MoM - its biggest drop since the Tsunami (considerably worse than the 2.0% drop expected and the slowest YoY growth in 8 months). While this would typically be the kind of bad news that is great news for QQE-hopers, it was disastrously capped by a surge in Japanese CPI (well above BoJ target 2% levels) crushing moar-easing hopes asBarclays see no further easing in 2014 (and even Goldman pushes any hope off til October at the earliest).




LOOK LOOK It's the "epitome of perfection" !!!!!

 

[akphidelt]

Following last night's record plunge in Japanese retail sales, tonight was another slew of crushingly bad data for Abe and his motley crew of money printers to reflect on. First Household Spending cratered 4.6% YoY - its biggest drop since the Tsunami (and markedly worse than expectations which were bad enough due to the tax hike repurcussions). Then, Industrial Production tumbled 2.5% MoM - its biggest drop since the Tsunami (considerably worse than the 2.0% drop expected and the slowest YoY growth in 8 months). While this would typically be the kind of bad news that is great news for QQE-hopers, it was disastrously capped by a surge in Japanese CPI (well above BoJ target 2% levels) crushing moar-easing hopes asBarclays see no further easing in 2014 (and even Goldman pushes any hope off til October at the earliest).


LOOK LOOK It's the "epitome of perfection" !!!!!

1 day retail sales? Lmao. At least try not to look as pathetic as Sheriff Joe.

 

[SheriffJoe]

I'm not a leftist at all. But when Republicans make decisions that completely are counter-intuitive to economic growth, I'm going to blame them. If Democrats were destroying public sector jobs and preventing the government from saving jobs, I would blame them also. I focus on policies, I don't care as much about politics as you do. You probably still think Reagan was a fiscal conservative. After studying Reagan for years, he is one of my favorite examples of how big government works.

 

[Dave007inVegas]

During WWII Japan won many battles but ultimately lost the war. And after a lost decade somehow they’re going to turn it around with the same failed policies? I think not.

 

[akphidelt]

During WWII Japan won many battles but ultimately lost the war. And after a lost decade somehow they’re going to turn it around with the same failed policies? I think not.

Yes, WWII has a lot to do with Abenomics in 2014, lol. You're a loon

 

[Dave007inVegas]

Yes, WWII has a lot to do with Abenomics in 2014, lol. You're a loon

I didn’t post that for you. I knew you wouldn’t understand the correlation.

Much like Japans failed policies, Obama’s policies have failed and will continue to do so.

Sometimes being stubborn does prove a point.

 

[DowntownMickeyBrown]

Bye, bye, Abe" Just when you thought Japanese macro data couldn't get any worse... it does. Plumbing new depths in the "you can't print your way to prosperity" plan, Japanese Private Sector Machine Orders collapsed 19.5% month-over-month - the largest monthly drop ever (as the dragged-forward pre-tax-hike demand left a hole the size of Fukushima behind it). With Abe's disapproval ratings soaring and inflation surging, hopes for more 'bad news is good news' QQE should be quickly dismissed.
This 19.5% collapse MoM (compared to expectations of a 1.1% rise!!!!) is not made any more easy for Abe to bear than the 14.3% Year-over-year plunge as Abenomics exuberance makes comps now considerably harder....