In a steep turnaround compared to January’s results, Japanese industrial output rose 2.00% last month, easily topping market forecasts of a 1.20% gain.
Separately, Japan's jobless rate hit a 22-year trough of 2.80% in February, a 0.20% dip from the previous month.
However, consumer inflation, excluding the effect of rising energy costs, increased a mere 0.10% from a year earlier, underscoring the challenges facing the Bank of Japan as it attempts to trigger sustain price gains.
Household spending dropped -3.80% in February from the same period a year ago, versus expectations of a -1.70% contraction. The decrease in household spending is reflective of a tightening labor market, which in turn has failed to drive wages high enough to boost domestic consumption.
USDJPY is down in early Friday trade, and was last seen around 111.800.
Japanese Economy Rebounds
Daily Analysis - 31/03/2017